Stage One: Analysis (Equality Check)

Equal Pay Review

Equal Pay Review

Published March 2016

Contents

Introduction

Scope

Definitions

Methodology

Stage one: Analysis (equality check)

Stage two: Diagnosis (pay review)

Stage three: Action

Results

Conclusion

Future Action

Introduction

1The university actively promotes equality and is actively committed to ensuring that all employees are treated equitably regardless of their age, nationality, ethnicity, disability, sexual orientation, gender, marital/civil partnership or parental status, religion or belief. As part of this commitment, the university believes that all employees should receive equal pay for work of equal value.

2According to the new Joint Negotiating Committee for Higher Education Staff (JNCHES) Equal Pay Review Guidance for Higher Education Institutions, the purposes of an equal pay review are to:

• establish whether there are any pay inequities arising between groups of employees
• analyse in more detail the nature of any inequities
• analyse the factors creating inequities and diagnose the cause(s)
• determine what action is required to deal with any unjustified inequities revealed by the analysis and diagnosis.

3Carrying out an equal pay review allows the University to:

• highlight areas for concern relating to equal pay
• enable causes of inequality to be diagnosed
• guide the actions required to fulfil both ethical and legal obligations to pay those carrying out work of equal value equally
• contribute to the development and maintenance of a fair and equitable reward system, thereby enhancing our image as an employer, improve the climate of employee relations and further our ability to attract and retain the staff we require
• help meet the statutory obligation to promote equal pay (under the gender equality duty).
• enable us to demonstrate progress in relation to providing equal pay and equal opportunity across the workforce.

Scope

4This Equal Pay Review has been conducted for all permanent and fixed-term employees on the grading structure. The grading structure provides the basis for analysis of pay for work of equal value. All roles on the grading structure are evaluated using Higher Education Role Analysis (HERA).

5Equal pay reviews are carried out every two years to analyse any potential gender pay inequities.

6Where meaningful analysis is possible without compromising anonymity, further reviews will be carried out to analyse inequities on the basis of other protected characteristics (e.g. ethnicity, disability) and for groups of employees not on the grading structure.

Definitions

7‘Pay gap’ is used to describe the percentage difference between the rates of pay of men and women (often referred to as the gender pay gap) and will also be used to refer to other relevant groups of employees.

8‘Equal value’ refers to work which is different but assessed as being of equal value. The University determines work of equal value using Higher Education Role Analysis (HERA).

Methodology

9The methodology used follows the JNCHES guidance on Equal Pay Reviews, which includes a three stage review process:

Stage one: Analysis (equality check)

10A basic analysis is made of the relative rates of pay between different groups of employees, with the aim of establishing the degree to which inequality exists in the form of a significant pay gap. A gap of more than 5 per cent may be regarded as significant enough to warrant further investigation, as may a pattern of differences in favour of one group, even if it less than 5 per cent.

11The analysis was carried out using data collected on 25 November 2015.

Stage two: Diagnosis (pay review)

12The aim of the review is to establish the nature of any inequities and their causes. Where there is a significant gap or patterns of differences, the likely factors which have led to the differences should be analysed. Once the likely explanations for the gap have been identified, the extent to which the gap can be objectively justified must be established. The diagnosis should indicate what remedial action is required.

Stage three: Action

13In this stage, remedial action to remove any unjustified pay gaps is specified, planned and implemented. The action plan should incorporate proposals on:

• the amendment of the equal pay policy (if necessary)
• the steps required to remove causes of unjustified pay gaps identified in Stage two
• how bias can be eliminated by changing the processes, rules or practices that give rise to unequal pay
• a plan for implementing agreed action
• who should be accountable for drawing up and implementing the action plan
• how employee representatives and recognised trade unions should be involved in preparing and implementing the action plan
• the arrangements for monitoring the implementation of the action plan and for evaluating outcomes
• processes for demonstrating progress in eliminating unjustified pay inequalities.

Analysis

Gender pay gap

14The table below shows the pay gaps by salary grade. All pay gaps are within acceptable limits (less than 5% difference between males and females).

Ethnicity pay gap

15Ethnicity pay gaps by salary grade are shown below. Whilst there are differences of more than 5% in 2 of the salary grades, the numbers of employees within the groups in those grades are so small that it has a disproportionate effect on the results.

Disability pay gap

16The table below shows the results for the disability pay gap by salary grade. There are significant (>5%) gaps in 2 of the salary grades, but the numbers in the sub-groups for those grades are so low that the data is not robust.

Diagnosis

17There are no significant pay gaps due to the protected characteristics of gender, ethnicity or disability that need addressing. Those gaps that are greater than 5% are a result of very small numbers of disabled staff or staff from a BME background within certain salary grades and do not require any action.

Action

18The next Equal Pay Review will be undertaken in 2017-18.

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