ACAS publishes 'practical advice' for tackling gender pay gap reporting


Organisations with at least 250 employees will be required to provide a snapshot of men’s and women’s salaries from 5 April this year.

Acas has published guidance to offer companies “practical advice” on how to calculate their gender pay gap, two months before reporting on the subject becomes mandatory for many.

The conciliation service has teamed up with the Government Equalities Office to publish the guidelines, which show the calculations that have to be carried out and the regulations that companies will need to follow. From 5 April, organisations with at least 250 employees will be required to provide a snapshot of men’s and women’s salaries, which includes mean averages and bonuses.

The term ‘employees’ is based on the Equality Act 2010 and includes ‘workers’, some self-employed people and those who job share. Partners in firms and agency workers will not be counted in the calculations.

Acas chief executive Anne Sharp said the new rules gave organisations an opportunity to look at the issue in depth and consider whether they could do more to develop talented women as well as “secure the benefits of greater gender diversity at all levels”.

Employers will need to publish a snapshot of their gender pay gap data on both their websites and a government site, details of which will be released closer to the deadline. The guidance suggests there will be “penalties” for failing to comply and organisations could be in breach of the Equality Act if they do so. They will also be required to publish full information within a year of the date in which their initial snapshot data is published.

There are six calculations to undertake, which must be confirmed by an appropriate executive such as the chief executive. These cover the average gender pay gap as a mean and median average; the average bonus gender pay gap as a mean and median average; the proportion of males receiving bonuses compared to females, and the proportion of males and females when divided into four groups ordered from lowest to highest paid.

Acas said that the reporting regulations would apply to about 8,000 UK organisations, including charities, and would affect more than 11 million employees.