A new report suggests that the gender pay gap is alive and well: The average bonus given to a man is double what a woman will get.
According to a survey by the Chartered Management Institute (CMI) found that last year, the average bonus for a male manager was £6,442, and just £3,029 for female managers. Their figures also show that, before bonuses, female managers already earn almost 25% less than their male counterparts.
Over a lifetime, this discrepancy in bonus payments could see men earning £141,000 more in bonuses than women, according to the research. The CMI also found that the pay gap increases at senior levels; the average bonus for a female director is £36,270, while a man would receive £63,700 on average.
Anne Francke, chief executive of the CMI, said:
“Despite genuine efforts to get more women onto boards, it's disappointing to find that not only has progress stalled, but women are also losing ground at senior levels.
“Women are the majority of the workforce at entry level but still lose out on top positions and top pay. The time has come to tackle this situation more systemically.”
Yvette Cooper, Labour’s shadow minister for women and equalities, also commented on the findings:
“It's disgraceful that the corporate gender pay gap seems to be getting wider rather than narrowing.
“It is in the interests of business and the economy for women's talents to be valued and promoted. And it's high time that women were fairly rewarded. Instead, once again, it looks like the clock is being turned back.”
In another piece of research, Boardwatch UK recorded the first fall in the percentage of women on boards since the figures were first collected in 1999. Back in 2011, Lord Davies attempted to rectify the issue of women on boards by setting a target of 25% representation by 2015 - women’s current representation on boards is at 17%.
Mark Crail from salary specialists XpertHR, the company that assisted with this research, suggested that employers could do more to encourage women into executive positions:
“While women are generally getting lower bonuses than men, especially at senior levels, they may be entering occupations where there is less of a culture of bonus payments. The question for employers is why that's the case.”
Anne Francke went on to stress the positive impact that women at a senior level can have on a business:
"If organisations don't tap into and develop their female talent right through to the highest levels, they will miss out on growth, employee engagement, and more ethical management cultures. And that's not good for business."