With International Women’s Day taking place this Saturday, ISIO issues a timely reminder about the need for action on Gender Pay Gaps
With just one month remaining before the Gender Pay Gap reporting deadline on 4 April, Isio’s analysis reveals thousands of companies are yet to submit their data. This raises concerns over last-minute reporting and the risks of non-compliance.
While there has been a positive trend in timely reporting, with the number of companies submitting late falling from 14% in 2020/21 to 9% in 2023/24, many businesses continue to struggle with the deadline.
Last year, two-thirds of late submissions were over a week late, and one-third took more than a month to file. At this stage in the reporting cycle, around 2,400 companies have already submitted their data, which is in line with last year. This suggests that nearly 9,000 companies still need to report in the coming weeks.
Isio’s analysis of previous years shows that nearly half of all submissions occur in the final week before the deadline. While last-minute reporting is common, it increases the risk of errors and missed deadlines.
What employers need to consider before the deadline:
- Ensure accuracy: Common reporting pitfalls include incorrect inclusion of allowances, adjustments for part-time work, and bonus calculations. Businesses should conduct thorough checks to avoid errors.
- Prepare for additional reporting: With the government considering expanding reporting obligations to include ethnicity and disability gaps, employers will need to start planning for these new requirements.
- Develop action plans: Gender Pay Gap reporting should be more than just a compliance task. Employers should develop action plans to close the gap and consider long-term diversity and inclusion strategies.
- Engage employees: Clear communication of results and planned actions is crucial. Engaging employees in the process will build trust and help ensure that pay equity efforts are taken seriously.
Isio’s recently launched report on Gender Pay Gaps highlights the steady decline in the overall gap since 2017, though disparities remain, particularly in sectors like finance and insurance. The report underscores the need for businesses to move beyond compliance and take meaningful steps towards closing the gap.
Mark Jones, Reward & Benefits Partner at Isio, said: “It’s encouraging to see more companies reporting on time, but with thousands still outstanding, many will face last-minute pressure. Gender Pay Gap reporting shouldn’t just be a compliance exercise – it’s an opportunity for employers to take stock of their reward strategies, identify pay disparities, and take meaningful action to close the gap. As the deadline approaches, Isio urges businesses to take the necessary steps to submit their reports on time and go beyond compliance to close the Gender Pay Gap.
“Many businesses still treat Gender Pay Gap reporting as a tick-box exercise, but those that go further by embedding transparency and taking action to improve pay equity will be better placed to attract and retain talent in an increasingly competitive market.”
