According to the Office for National Statistics’ latest data, the average gender pay gap continues to shrink in the UK. However, the picture is complex and depends on factors such as age, occupation, industry sector, region, and the Office for National Statistics.
In the last decade, it fell by about a quarter for full-time workers, and it was 7% in April 2024 compared to 7.5% in March 2023.
In April 2024, the median earnings for full-time employees, excluding overtime, were PS19.24 (for men) and PS17.88 (for women). Part-time employees earned PS13.40 and PS13.40 respectively.
The average gender gap is the difference in average hourly earnings of men and of women, excluding overtime. It is expressed as a percentage of men’s average pay without overtime. The ONS Data comes from the Annual Survey of Hours and Wages (ASHE), and is not related to the gender pay gap reporting requirements of UK employers.
The pay gap between men and women is greater for those employees who are over 40 than those under 40, and it is also larger among higher-paid employees than among lower paid employees.
The gender pay gap among all employees decreased from 14.2% to 13.1% by April 2024. Part-time employees had a gender pay gap of -3.0%, meaning that women were paid more. In April 2023 it will be -2.5%.
It is because more women work part-time. Part-time work pays less per hour than full-time employment. ASHE data shows that by 2024, approximately 85% of men will be working full-time compared to 61% of women.
The gender pay gap for senior managers and managing directors widened in 2024 from 9.2% to 9.8%. Pay gaps in professional occupations increased from 8.7% up to 10%, and those for associate professional and technical positions from 10.8% up to 12.3%.
In April 2024 the pay gap between men and women for full-time workers under 40 years old was smaller than that of those over 40. For example, the gender pay gap for full-time employees under 40 was smaller than that for employees over 40 in April 2024.
Between 2023 and 2020, the gender pay gap declined in most age groups. For those aged 50-59 it increased from 11,1% to 12,1%. For those aged 18-21 it remained at 0.5%. The biggest decrease in the gender pay gap was among those aged 22-29 years. It almost halfed from 2.5% down to 1.3%.
The gender pay gap for high earners, those in the top 10% of the pay scale, was 15.5% compared to 14.9% the previous year. For low-earners in the bottom 10% of earners, the gap was 2.7%, down 3%.
In April 2024, the gender pay gap was significantly different between regions. The gender pay gap was greater in all regions of England than it was in Northern Ireland (0.8%), Scotland (2.2%) and Wales (1.9%). In 1997, the gender pay gap between regions was almost equal. London and the South East experienced the largest gender pay gap of 12.4% in 2024. This was down from 1997, when it stood at 15,1% and 20,1%.
Paul Nowak, general secretary of the TUC, said that “the gender pay gap is closing slowly.” If we continue at this pace, it will take 16 years for the gender pay gap to be closed. “We need to take bolder actions so that we do not consign another female generation to pay inequalities.”
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The Employment Rights Bill, which is being drafted by the government, will require that large employers publish action plans detailing how they plan to close their gender pay gap.