The Gender Pay Gap Information Act 2021 requires employers to report on their Gender Pay Gap across a range of metrics, as set out in the Regulations. The Gender Pay Gap is the difference between the average hourly earnings for all men and the average hourly earnings for all women. The purpose of this reporting is to encourage organisations to acknowledge and reflect on the company Gender Pay Gap, the causes behind it and to reduce or eliminate any gaps. The below article will outline the main reporting requirements and provide an update on the changes introduced this year.
Reporting
Reporting began in 2022 and is being continuously extended to smaller organisations. Organisations need to calculate the data for employees using a “snapshot date” in June each year. The reporting period is the 12-month period immediately before and including this snapshot date.
This year is no different and will introduce a mandatory reporting expansion of the legal obligation to report on the Gender Pay Gap. Gender Pay Gap reporting will now apply to employers with 50 or more employees from June 2025.
The data must include the following:
- The differences between the:
- Mean hourly pay and the median hourly pay of male and female employees
- Data on bonus pay
- Mean part-time pay and median pay of part-time male and female employees
- Mean pay and median pay of male and female employees on temporary contracts
- The proportions of male and female employees in the lower, lower middle, upper middle and upper quartile pay bands.
- If a gap is identified:
- A report explaining the reasons why a Gender Pay Gap exists within the organisation.
- Details of the actions the organisation plan to take to reduce or close the gap.
Reporting Portal
Minister Norma Foley, Minister for Children, Disability and Equality announced that a gender pay reporting portal will be launched this year. Details of this portal are not yet available but will be in the coming months. The aim of this portal will be to encourage organisations to address pay disparities and the intention is to replace the requirement for organisations to publish reports on their own websites.
Employers with 50 or more employees will now be required to publish a Gender Pay Gap report on this portal. This portal simplifies the process of Gender Pay Gap reporting by merging reports from all private and public sector organisations onto one accessible database. The portal will be fully searchable by members of the public. This year there is a shift whereby employers will now be required to publish their report in November instead of December.
In advance of this year’s reporting deadline ISME recommend that all members in this category begin to collate the data, conduct internal audits, review pay structure, engage with employees and review internal relevant policies to ensure they all promote equal opportunities.
For further information on how to calculate Gender Pay Gap metrics, please refer to the below links:
- how to calculate the gender pay gap metrics.
- Employment Equality Act 1998 (section 20A)(Gender Pay Gap Information) Regulations 2022
As always, if you require any support with HR or Employment Law you can contact the ISME HR Team on 01 6622755 Option 2 or via HR@ISME.ie. Members also have access to the ISME HR Hub which provides further guidance on this topic.