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Compensation uFlex Updates

Covid’s impact on the pay gap

2022-05-30

One of the key underlying drivers of pay gaps around world – the distribution of males and females within the workforce – are very aligned with demographics most impacted during the covid pandemic; Females are more likely to work in part time roles, more likely to work under temporary contracts, more likely to work in the hospitality and retail industry and more likely to step back to take care of children and family. This is likely to have ripple impact over time; females exiting the workforce temporarily to have children is often cited as one of the key reasons females do not keep up with the same progression of males.

This effect has already been observed by the New Scientist STEM salaries survey. I love this report as it assesses only STEM roles across many companies. Creating a much better measure for analysis, rather than for example the UKGPG data which only give insights per company where there are likely to be a wide variety of roles included.

The report found that Most STEM salaries are on the rise – but inequalities are worsening. Salaries across STEM industries have fared well despite the pandemic, but women and people of colour are still experiencing discrimination. https://www.newscientist.com/article/mg25433814-000-most-stem-salaries-are-on-the-rise-but-inequalities-are-worsening/

One of the best way employers can help tackle these underlying drivers is to offer more flexibility. There has been an exponential increase in the number of employees requesting flexible-working post-pandemic and it helps those who may otherwise need to temporarily leave the workplace to stay in their roles and continue their progression. Plus, if flexible working is delivered gender-neutral organisation-wide, it gives males more opportunities to share home commitments, further helping females to stay in their roles.

If you would like to find out more about how uflexreward can help you monitor your gender pay gaps as well as introduce more flexibility, then please get in touch.

Stuart Smith

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