Equal pay


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Equal pay

  1. 1. 17. Equal PayPrésented by : Rajshree Templates Free Powerpoint pandya Page 1
  2. 2. Introduction Title Equal Pay Act 1970 requires that men and women be paid the same amount of money for the same amount of work, when in the same establishment. According to this act, the jobs do not need to be identical, but substantially equivalent to each other. This Act also prevents employers from compensating differently on the basis of sex. Free Powerpoint Templates Page 2
  3. 3. Reasons for unequal pay Rubery (1992) suggested that the undervaluation of women’s employment is caused by three interrelated factors:1) Gender discrimination in the ways in which jobs are graded and paid.2) Widespread occupational segregation by gender3) Differences in the labour supply and labour market conditions that allow the differences to be perpetuated. Free Powerpoint Templates Page 3
  4. 4. Human capital differencesPart-time workingOccupational segregationWorkplace segregationTravel patternsOther factors that affect the gender pay gap include: jobgrading practices, appraisal systems,reward systems, retention measures, career breaks, poorunion representation and wage setting practices. Free Powerpoint Templates Page 4
  5. 5. The equal pay legal framework The legislation essentially provides that pay differences are allowable only if the reason for them is not related to the sex of the job holder. The equal pay legislation is concerned with the conduct of equal pay reviews designed to identify any aspects of discrimination related to race, religion, disability or age that results in pay inequities. Free Powerpoint Templates Page 5
  6. 6. • European legislation : Men and women should receive equal pay for work of equal value. Job classification systems (which is Euro-English for any formal grading systems and thus encompasses job evaluation schemes) should be fair and non- discriminatory.• The Equal Pay (Amendment) Regulations 1983:• Under this equal value amendment women are entitled to the same pay as men (and vice versa) where the work is of equal value ‘in terms of the demands made on a worker under various headings, for instance, effort, skill, decision’. Free Powerpoint Templates Page 6
  7. 7. Employment Act 2002 A statement of why the individual (the complainant) thinks they are not receiving equal pay, followed by a statement of who they believe the comparators are.Factual questions to ascertain whether the complainant is receiving less pay than the comparator and, if so, the reason why.A question asking whether the employer (the respondent)agrees or disagrees (with reasons) that the complainant is being paid less than the comparator. A question asking whether the employer agrees or disagrees (with reasons) that the complainant and the comparator are doing equal work. Space for the complainant’s own questions. Free Powerpoint Templates Page 7
  8. 8. Code of Practice on Equal Pay This code was produced by the Equal Opportunities Commission in 2003. It is not legally binding but employment tribunals may take into account an employer’s failure to act on its provisions. Free Powerpoint Templates Page 8
  9. 9. Equal pay claims • where the work is like work, meaning the same or very similar work;Claim • where the work is rated as equivalent under a job evaluation ‘study’;Claim • where the work is of equal value ‘in terms of the demands made on a worker under various headings,Claim for instance, effort, skill, decision’. Free Powerpoint Templates Page 9
  10. 10. Achieving equal pay Use an analytical job evaluation scheme that is free of bias Ensure that discrimination or bias does not occur in operating the job evaluation scheme Design a grade and pay structure that is free of bias. Ensure that the processes used for grading jobs in the structure are free of bias.Check the policy and practice on positioning employees within a pay range in a graded pay structure Review policy and practice on upgradings and promotions to ensure that discrimination is not taking place, for example between white and Asian employees.Ensure that line managers are aware of their responsibility for avoiding pay Free Powerpoint Templates discrimination. Page 10
  11. 11. Equal pay reviewThe purpose of an equal pay review is to:1) Establish whether any gender-related pay inequities have arisen;2) Analyze the nature of any inequities and diagnose the cause or causes;3) Determine what action is required to deal with any inequities that are revealed. Free Powerpoint Templates Page 11
  12. 12. Three main stages to an equal pay review are: Analysis: the collection andanalysis of relevant data toidentify any gender gaps. of Diagnosis: the process reviewing gender gaps, understanding why they have occurred and what remedial action might be required if the differences can not be objectively justified and enacting Action: agreeing an action plan that eliminates any inequalities. Free Powerpoint Templates Page 12
  13. 13. Defending an equal pay claim The three most common grounds for defending a claim are: 1) Proving that the work is not equal, and 2) That even if they are equal, there is a genuine material factor that justifies the difference in pay as long as the justification is objective.3) Independent expert Free Powerpoint Templates Page 13
  14. 14. Objective justification has to demonstrate that: The purpose of the provision or practice is to meet a real business need. The provision or practice is appropriate and necessary as a means of meeting that need. Free Powerpoint Templates Page 14
  15. 15. Independent experts If there is any doubt as to whether or not work is of equal value, employment tribunals will require an independent expert to prepare a report. evaluate the jobs concerned analytically; take account of all information supplied and representations that have a bearing on the question; before reporting, send the parties a written summary of the information and invite representations; include the representations in the report, together with the conclusion reached on the case and the reason for that conclusion; take no account of the difference in sex, and at all Free Powerpoint Templates times act fairly Page 15
  16. 16. Free Powerpoint Templates Page 16