Posted by Richard Woodman, Partner
Mandatory reporting on ethnicity and disability pay gaps for businesses – comment from Royds Withy King
With just three per cent of organisations measuring ethnicity or disability pay gaps, the Equalities and Human Rights Commission has last week called for mandatory reporting for all organisations with more than 240 employees. Richard Woodman, a partner in the …
With just three per cent of organisations measuring ethnicity or disability pay gaps, the Equalities and Human Rights Commission has last week called for mandatory reporting for all organisations with more than 240 employees.
Richard Woodman, a partner in the London Employment team at law firm Royds Withy King comments.
“Further mandatory requirements will be costly and burdensome, and would also force businesses to ask potentially intrusive questions about individuals’ ethnicity and disability. Regarding disability, the situation is made more complicated because not everyone who may suffer from a health condition will necessarily meet the definition of disability under the Equality Act 2010.
“Pay reporting statistics may also be misleading if it follows the Gender Pay Gap reporting criteria, as more people with disabilities work part time compared to people without disabilities so this will skew the picture.”news
Richard adds: “The Government has been pushing to get more disabled people employed and whilst there has been an increase, particularly for women with disabilities, the percentage of disabled people in employment is some 30% lower than those without disabilities, which is considerable.
“Despite the burden, such mandatory requirements would make big companies focus their minds on the situation and force them to think about strategies to increase the numbers of ethnic minorities and those with disabilities within their own business. They would have to practice what they preach and also show that such candidates and staff are given equal opportunity in relation to recruitment, pay, training and promotion.”
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