Mental health issues can cost 42% salary

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16 Aug 2016

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Sufferers of mental health problems can earn up to 42% less than their peers, according to new evidence from the Equality and Human Rights Commission; the most recent case of pay discrimination that employers should take action to avoid. Clare Parkinson, Croner Reward Business Manager, comments: “The Equality Act 2010 prohibits various types of discrimination, including any mental illness that is long-term and whose effects are substantial. Employees are protected against all forms of discrimination in every aspect of their employment, including terms and conditions and pay. “When it comes to pay, it is important to evaluate the role itself and not the individual. To ensure that pay and benefits decisions are justifiable, many factors should be taken into consideration, such as the necessary educational standards and responsibilities of the role. “Should you be worried that you are underpaying staff, salary benchmarking can be useful in ensuring salaries are in-line with the market. If you are struggling to offer median salaries, especially since the introduction of the National Living Wage, it may be advisable to contact an external consultancy who can help you to manage cost control and challenge the foundations of your current strategy.” To ensure that your pay decisions are in-line with best practice, please call 0800 728 0103 or e-mail reward@croner.co.uk.

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