06 Jan 2017
It has been reported that the gender pay gap has halved to 5% for women in their 20s, though the discrepancy continues to widen when they reach 30.The findings have been highlighted by the Resolution Foundation, a think-tank that works to improve the living standards of those in Britain on low to middle incomes. Laura Gardiner, explaining the report, says: “We see the improvement in women’s position even more clearly in what’s happened to the gender pay gap. “We know the gender pay gap isn’t a perfect measure. By comparing the typical pay of all women and all men it obscures the fact that these two groups differ in their characteristics and the jobs they do. And therefore it mixes together positive choices that women make about the balance between work, education and other things with constrained career decisions and straightforward discrimination. “Nonetheless, the pay gap – particularly when disaggregated by characteristics like age – remains a good tool for understanding the gender implications of how we organise work in the UK, and how these have changed over time.” The report reveals that women who are entering the workforce now will still be paid less than male colleagues over the course of their career, however the pay difference for the first decade of their employment has seen a slight improvement. The foundation considered the differences in typical hourly pay between various generations of men and women throughout their careers. They say that the report reflects “positive trends, including rising higher educational participation which women in particular have benefited from, and more women breaking into high-paying industries and occupations.” The report, which highlights the challenges the Government faces to close the pay gap, found that for workers in their 20s:
- The pay gap was 16% among ‘baby boomers’ born between 1946 – 1965
- For people born between 1966 and 1980, the gap was 9%
- And most recently, for millennials born between 1981 and 2000, a 5% pay gap was identified.
Free to Download Employer Resources
Ready to focus on what you do best?
Get your free consultation and speak to an expert today.