Author: Sarah Jefferys
Let’s look at the key recent insights from the Office for National Statistics’ report on the gender pay gap in the UK1:
- The overall pay gap has slightly narrowed from 13.1% to 12.8% in the last 12 months, but remains driven by more women in part-time roles
- Full-time women earn around 7% less per hour than men
- Part-time pay favours women, earning 2.9% more than men
- Part-time work disproportionately impacts women – with 61% of women working full-time compared to 85% of men (April 2025). Combined with career breaks and occupational segregation (when different demographic groups are disproportionately represented), this continues to fuel wider lifetime pay gaps
- The gender pay gap is most significant among top-earners in full-time roles
- London and the South-East show the most pronounced gender pay gaps, driven by a concentration of high earners
- Female representation in senior roles declines with age, despite pay increasing with seniority
- Encouragingly, younger generations consistently show much smaller gender pay gaps compared to older cohorts over the past five years
- The corporate gender pay gap is stark—while women make up 49% of the UK workforce, only 10% of CEOs in the top 100 public companies are women
We recognise that persistent gaps erode trust in leadership and the sense of belonging that fuels great workplaces, while research shows that gender-balanced teams deliver stronger financial performance2.
How can HR and Reward specialists go beyond compliance around the gender pay gap?
Start here with five key steps:
1. Look beyond gender
While organisations in the UK are only obligated to report their gender pay gaps, we advocate going further by analysing other characteristics like ethnicity and disability. Understanding workforce demographics requires robust data, so secure executive buy-in and run targeted campaigns to encourage disclosure. Aim for 60–70% disclosure—anything less won’t provide meaningful insights.
2. Go deep on analysis
Once you've gathered the data, analyse it thoroughly by applying multiple lenses like age, tenure, and job level to identify poor practices. This detailed scrutiny ensures issues are addressed promptly and helps uncover any unlawful practices, driving improvement towards best-in-class standards.
Analysis should be used to feed into a narrated action plan around closing the pay gap. Going beyond compliance sends a powerful message to internal and external stakeholders that you are serious about pay equality and inclusion and helps hold leadership to account in making positive change.
3. Review your existing reward structures
Critically assess your reward systems and processes, especially where data highlights issues. Are they still robust and relevant in today’s evolving workplace, or do legacy structures pose risks? Review and refresh pay frameworks and career levels to ensure they remain transparent, up-to-date, and understood by all.
4. If you find discrepancies, develop a clear action plan
If you uncover any issues, it’s time for action stations. This may involve conducting an equal pay audit, setting target-driven action plans, or introducing a modern, transparent career framework. Consistency in measuring and valuing work is essential, underpinned by systems that promote equity, transparency, and fairness.
5. Embark on a cultural journey to greater transparency
A cultural reset prioritising workplace flexibility is vital—embedding equality into the culture rather than addressing it later. Further cultural adjustments may be needed to empower managers in supporting employee conversations and enhancing change leadership. This transformation must be underpinned by a clear communication and engagement plan.
How we can help
When we move towards greater gender pay equality, everyone benefits. By acting decisively now, you can ensure you have a competitive advantage and increased employee engagement.
We support clients to fulfil reporting obligations, build data-driven plans to narrow the gap and develop messaging to develop an authentic, future-focused action plan. Learn more here.
