United Kingdom/ Will companies soon have to publish their ethnicity pay gap? (in brief)

On 11 October, UK prime minister Theresa May revealed her intention to require employers in the country to report their ethnic pay gap, just as companies have been obliged by law to reveal their gender pay gap since 2017  (see article n°10630). In order to make headway on the matter, the government has launched a consultation. Until January, UK employers will be able to say what information they would be able to provide on this sensitive topic and how the gap would be calculated. The government’s move, which echoes its shock report from 2017 which underlined the lack of diversity in the world of work (see article n° 10091), has been well received by the Confederation of British Industry, the employer organisation. Mathew Fell, CBI chief UK policy director, says: “Transparency can be a catalyst for action in tackling the ethnicity pay gap, in the same way that it has been so successful for gender.” In addition to the consultation, the UK government has launched a Race at Work charter, the contents of which are yet to be revealed, which sets out principles for firms looking to increase their level of diversity. The charter is understood to have already been signed by public sector giants such as the National Health Service, as well as players in the private sector such as Lloyds Banking Group and professional services firm KPMG.