Average bonuses for male workers are far eclipsing those for women, with evidence that the pay gap is actually widening, according to latest research from the Chartered Management Institute (CMI). Compiled in partnership with human resources specialists XpertHR, the National Management Salary Survey revealed that men have recorded an average annual bonus sum of £6,442, compared to £3,029 for women.
Meanwhile, the average male salary exceeds the female sum by almost 25% (£38,169 compared to £29,667). According to data supplied by some 43,000 respondents, over the course of a working lifetime a male employee stands to make £141,500 more than a woman doing the same role.
Labour shadow minister for women and equalities Yvette Cooper said: “It’s disgraceful that the corporate gender pay gap seems to be getting wider rather than narrowing. Women executives already only get three quarters of the pay of male executives in similar jobs. And now this research shows women managers are only getting half the bonuses too.”
Cooper added: “This is at the same time as BoardWatch UK has said progress in getting more women on boards was stuck ‘in the doldrums,’ even though there is clear evidence that increasing women on boards improves corporate performance. Too many organisations still need to get their act together and stop undervaluing women’s talent.”
CMI chief executive Ann Francke 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.”
To that end, CMI has proposed a roadmap for culture change, based upon three essential steps:
Measure and report on equality
Diverse organisations perform better on hard and soft measures – so all organisations should set targets for the percentage of women and men at junior, middle and top levels, and publish progress against these. Meanwhile, the government should demand this level of transparency from companies – highlighting good examples and naming and shaming those that are failing.
Extend flexible working for men and women
Flexible working options and shared parental leave will help to bring about a culture shift. Greater flexibility, especially at the top, appeals to both sexes – and can help reshape cultural norms.
Sponsor, mentor, develop
Sponsorship and mentoring of talented women should be part of an organisation’s DNA. Those opportunities give women the confidence to aspire to top roles and the skills needed to get there. Back this up with training, experience and qualifications to prepare them for future leadership roles.
Find out more