Brief Explanation of the Gender Pay Gap
Unlike equal pay, which refers to paying a man and a woman the same amount for the same, or similar work, a pay gap is the difference in average pay between men and women in an organisation in a specific time period. It is the result of gender imbalance – having more women in junior roles or fewer women in senior roles, relative to men. This means having a pay gap is likely to persist until organisations have a balanced representation of men and women at every level – something we are passionate about addressing. We are confident, however, that men and women are paid equally for doing the same job at Adare.
To determine the gender pay gap, the difference between the mean and median hourly rates of pay that men and female colleagues receive has to be calculated. The mean pay gap is the difference between average hourly earnings of men and women. The median pay gap is the difference between the mid points in the ranges of hourly earnings of men and women. It takes all salaries in the sample, lines them up in order from lowest to highest, and picks the middle salary.
Adare SEC’s Mean and Median Gender Pay Gap
Adare’s mean gender pay gap is 19.75% and its median gender pay gap is 17%. This shows a slight improvement since our previous years Gender Pay gap report. Within Adare, there were more men at senior levels and a significantly larger proportion of women in our more junior roles in April 2018. This means our average male salary at that given time (mean and median) was higher than our average female salary.
The charts below show the gender distribution across Adare SEC in four equally sized hourly pay quartiles, each containing approximately 115 employees.
Looking at the lower quartile, 42.2% of employees are men and 57.7% are women. Overall, women represent 33.5% of Adare SEC employees. Women are less represented than this figure in the higher pay quartiles due to proportionally more men being in senior level roles.
The majority of our bonus payments are due to an operations attendance bonus scheme which is equally open to men and women. This would give a median of 0%. However, there are also bonus payments for sales staff where there are a higher proportion of senior men than women which affects the gender pay gap, giving a mean bonus pay result of 3.5%
Here at Adare we are continually working towards addressing any gender pay gap imbalances through our diverse methods of recruitment. Recruitment and Selection training has been given to managers to remove any potential unconscious bias to ensure recruitment is based on the appropriate competencies for the required role. This is further supported through our annual review of all policies including our Recruitment and Vetting policy.
With effect from 1st November 2018, a new appraisal system was launched across the business. This is based upon the competencies and values which the business requires to further develop and grow. In addition to this, the new appraisal system gives managers a more structured and controlled process to identify high performers/high potential in their teams with a view to offer further opportunities equally to both genders to those wishing to take them.
With effect from 1st March 2019, the business is trialling a new flexible working scheme that allows greater flexibility in how people manage their work life balance with the additional benefit of buying up to 5 days annual leave a year and a reduction in the working week. It is hoped that this initiative will be seen as a positive benefit for both existing and prospective employees going forward, and that it will have a positive impact on the gender pay gap.
Addressing the disparity in gender representation at senior levels will take time but these initiatives will help to close the gender pay gap. Since the release of our 2017 gender pay gaps figures, Adare has seen a significant shift in its gender representation at a senior level. Currently, Adare operates with a senior Executive team of 7 – 3 females one of which includes the CEO of the business and 4 males. This is a change from our 2017 figures showing a senior Executive team of 6, with just 2 females and 4 males.