Pay gaps and inequalities in employment

The MiSoC team’s extensive reports on pay gaps in the UK – including gender, disability and ethnicity gaps in pay equality – have played a significant role in the discussion about policy and practice change. This new evidence has been cited by government, campaigners, business and industry, as they instigate and embrace new recommendations to reduce pay gaps.

Informing new recommendations to governments and employers

The Commission published their strategy in August 2017 setting out what needs to change and who needs to take action to reduce gender, ethnicity and disability pay gaps.

Their recommendations, Fair opportunities for all – What needs to change to reduce pay gaps in Britain? are based on our new evidence into the size and causes of these pay gaps.

The Commission called on the UK, Scottish and Welsh governments and employers to address pay gaps in a comprehensive and coordinated way.

The Commission’s report was primarily intended for UK, Scottish and Welsh governments and employers, but of significant interest to all those working towards improving equality in gender, ethnicity and disability.

The Commission was particularly interested in our researchers’ ability to use the Labour Force Survey data for detailed analysis of wage gaps and the factors giving rise to these. Our research consisted of separate analyses of ethnicity (looking at nine minority groups), gender and disability. The last two of these also differentiated by ethnicity while the ethnicity report also looked at gender differences within ethnic minorities. The main aim was to understand how far wage gaps vary across different dimensions (for instance amongst graduates, or part-time workers, or people living in different regions) and to undertake analysis of the factors which contribute to the gaps.

The team have contributed to the Women & Equalities Select Committee Inquiry on Race Disparity Audit and met with the Department for Business, Enterprise, Innovation and Science officials working on Baroness McGregor Smith’s enquiry into ethnic inequality in employment. We also gave evidence to the House of Commons Women and Equalities Committee inquiry into Employment opportunities for Muslims in the UK.

Informing new research and improving support services

The JRF were particularly interested in relation to ethnic minorities because this is an area where effective impact is possible, in order to reduce poverty. They want to know what policies can be developed to encourage or enable ethnic minorities to enter higher paid occupations or occupations where wage inequality is least? The research for JRF was based on precise definitions of wage gaps and low pay to show the proportion of ethnic minorities (combined) falling into specific occupations characterised on either dimension. The report listed those occupations where inequality or low pay was highest for minorities and where minority employment is most concentrated, and those where neither low pay nor inequality are a problem but where minority employment is very limited.

The team have contributed to a large number of workshops under the aegis of JRF and the Commission with voluntary organisations representing ethnic-minority interests, designed to link research outcomes with practical change.