The Equality and Human Rights Commission (EHRC) has launched a report recommending that the government introduce legislation to mandate ethnicity and disability pay gap reporting.
Although employers with 250 or more employees must report on their gender pay gaps, the report highlights that inequality in the workplace doesn’t just affect women.
“Ethnic minorities and disabled people may also experience disadvantages at work or accessing work. Employers should be aware of this and seek to understand the causes. Collecting data about employees is one way to help identify barriers that some people may face,” argues the EHRC.
The report includes research which found that, while a clear majority (77 per cent) of employers say that ensuring workforce diversity is a priority for their organisation:
fewer than half record or collect data on whether employees are disabled or not just 23 per cent collect data on staff pay and progression that can be broken down by ethnicity and disabled and non-disabled staff“We’ve seen how mandatory reporting has led to employers redoubling efforts to address their gender pay gaps. We need the same level of scrutiny and focused action on opportunities for disabled and ethnic minority staff in the workplace,” said Caroline Waters, Deputy Chair of the Equality and Human Rights Commission.
“Collecting meaningful data will give employers the insight they need to tackle the underlying causes of inequality and ensure that disabled people and those from ethnic minorities enjoy a working environment that allows them to reach their full potential.”
The report, Measuring and Reporting on disability and ethnicity pay gaps, considers the most effective and useful ways for employers to measure pay and progression for ethnic minorities and disabled people, and provides examples of what employers are already doing.
It also sets out several recommendations to improve the disability and ethnicity pay gap. This includes calling for the government to require private, voluntary and listed public sector employers with 250 or more employees to monitor and report on ethnicity and disability in recruitment, retention and progression within the workplace by April 2020.