{"id":158524,"date":"2024-04-23T11:59:26","date_gmt":"2024-04-23T10:59:26","guid":{"rendered":"https:\/\/startups.co.uk\/?p=158524"},"modified":"2024-04-23T13:00:00","modified_gmt":"2024-04-23T13:00:00","slug":"ethnicity-pay-gap","status":"publish","type":"post","link":"https:\/\/startups.co.uk\/people\/payroll\/ethnicity-pay-gap\/","title":{"rendered":"The UK ethnicity pay gap: trends and stats 2024"},"content":{"rendered":"<div class=\"wpb-content-wrapper\"><p>[vc_row][vc_column][vc_column_text]<span style=\"font-weight: 400\">Fair pay is a cornerstone of a healthy economy and society. Yet, in the UK, we&rsquo;ve seen an enduring <a href=\"https:\/\/startups.co.uk\/people\/payroll\/gender-pay-gap\/\">gap between what men and women earn<\/a> for the same role.<\/span><\/p>\n<p><span style=\"font-weight: 400\">An ethnicity pay gap refers to the difference in average earnings between different ethnic groups within the labour market against the traditional &ldquo;reference market&rdquo; which is the White\/White British category.<\/span><\/p>\n<p><span style=\"font-weight: 400\">Tackling this ethnicity pay gap in our workforce is not just the responsibility of <a href=\"https:\/\/startups.co.uk\/people\/payroll\/companies-gender-pay-gap\/\">large businesses<\/a>, but for everyone &ndash; as it has significant ramifications for fairness, economic opportunity, and ultimately, the nation&rsquo;s prosperity.<\/span><\/p>\n<p><span style=\"font-weight: 400\">This article delves into the latest trends and statistics surrounding the UK ethnicity pay gap in 2024, providing valuable insights for employers, employees, and policymakers alike.<\/span>[\/vc_column_text]\n <\/p><div class=\"highlight-box\">\n <div class=\"highlight-box-decor\">\n <svg class=\"brush-stroke-svg brush-stroke-big\" preserveaspectratio=\"none\" viewbox=\"0 0 116 6\" version=\"1.1\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" xmlns:xlink=\"http:\/\/www.w3.org\/1999\/xlink\">\n <g stroke=\"none\" stroke-width=\"1\" fill=\"#ea0037\">\n <path d=\"M94.0845406,5.55784045 C93.4629887,5.58758734 92.7723755,5.58758734 92.2198849,5.64708111 C92.0127009,5.66195455 91.7824965,5.67682799 91.5062512,5.66195455 C89.5955547,5.58758734 87.6618377,5.5727139 85.7511411,5.67682799 C85.5669776,5.69170144 85.2446914,5.67682799 84.9914666,5.67682799 C82.8275451,5.66195455 80.6866442,5.63220767 78.4997023,5.67682799 C76.0825561,5.72144832 73.5963485,5.64708111 71.271284,5.73632176 C69.3605874,5.81068898 67.5649931,5.76606865 65.7003374,5.76606865 C62.4084144,5.76606865 59.0934709,5.79581553 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<div class=\"highlight-box-headline\">\n \n <span class=\"highlight-box-title\">\n Key ethnicity pay gap statistics: <\/span>\n <\/div>\n \n <div class=\"highlight-box-content\">\n <p><\/p>\n<ul>\n<li>In 2022, Asian or Asian British employees in the UK earned&nbsp;<a href=\"https:\/\/www.ons.gov.uk\/employmentandlabourmarket\/peopleinwork\/earningsandworkinghours\/articles\/ethnicitypaygapsingreatbritain\/previousReleases\" target=\"_blank\" rel=\"noopener noreferrer\"><b>3.3% more than White employees<\/b><\/a>, meaning there has been some progress towards closing the gap when it comes to this demographic.<\/li>\n<li>While some Asian subgroups like Chinese and Indian employees have higher earnings compared to White British,&nbsp;<a href=\"https:\/\/www.ons.gov.uk\/employmentandlabourmarket\/peopleinwork\/earningsandworkinghours\/articles\/ethnicitypaygapsingreatbritain\/2012to2022\" target=\"_blank\" rel=\"noopener noreferrer\"><b>Bangladeshi and Pakistani employees earn less<\/b><\/a>.<\/li>\n<li>UK-born Black, African, Caribbean or Black British employees faced a&nbsp;<a href=\"https:\/\/www.ons.gov.uk\/employmentandlabourmarket\/peopleinwork\/earningsandworkinghours\/articles\/ethnicitypaygapsingreatbritain\/previousReleases\" target=\"_blank\" rel=\"noopener noreferrer\"><b>5.6% pay gap compared to White employees<\/b><\/a>&nbsp;after adjustments in 2022.<\/li>\n<li>The pay gap for UK-born Mixed or Multiple ethnicity employees&nbsp;<a href=\"https:\/\/www.ons.gov.uk\/employmentandlabourmarket\/peopleinwork\/earningsandworkinghours\/articles\/ethnicitypaygapsingreatbritain\/previousReleases\" target=\"_blank\" rel=\"noopener noreferrer\"><b>narrowed to just 0.6%<\/b><\/a>&nbsp;more than White employees after adjustments.<br>\nUK-born employees categorised as<b>&nbsp;<\/b><a href=\"https:\/\/www.ons.gov.uk\/employmentandlabourmarket\/peopleinwork\/earningsandworkinghours\/articles\/ethnicitypaygapsingreatbritain\/previousReleases\" target=\"_blank\" rel=\"noopener noreferrer\"><b>&ldquo;Other&rdquo; ethnicities still earn 3.8% more than White employees<\/b><\/a>&nbsp;after adjustments.<\/li>\n<\/ul>\n<p><\/p>\n <\/div>\n <\/div>\n<div class=\"jumplinks-content\">\n <ul class=\"jumplinks-content-list\">\n <li class=\"jumplinks-content-item\">\n <a class=\"jumplinks-content-link jumplink-anchor\" href=\"#link-the-uk-ethnicity-pay-gap\">The UK ethnicity pay gap<\/a>\n <\/li>\n <li class=\"jumplinks-content-item\">\n <a class=\"jumplinks-content-link jumplink-anchor\" href=\"#link-understanding-the-ethnicity-pay-gap\">Understanding the ethnicity pay gap<\/a>\n <\/li>\n <li class=\"jumplinks-content-item\">\n <a class=\"jumplinks-content-link jumplink-anchor\" href=\"#link-what-can-be-done-to-close-the-ethnicity-pay-gap\">What can be done to close the ethnicity pay gap?<\/a>\n <\/li>\n <li class=\"jumplinks-content-item\">\n <a class=\"jumplinks-content-link jumplink-anchor\" href=\"#link-conclusion\">Conclusion<\/a>\n <\/li>\n <\/ul>\n<\/div>\n[\/vc_column][\/vc_row][vc_row][vc_column]<div class=\"jumplink-anchor-section\">\n <div class=\"jumplink-anchor-pointer\" id=\"link-the-uk-ethnicity-pay-gap\"><\/div>\n<\/div>\n[vc_column_text]\n<h2>The UK ethnicity pay gap<\/h2>\n<p><span style=\"font-weight: 400\">The current UK job market presents a mixed picture regarding ethnicity and pay.&nbsp;<\/span><\/p>\n<p><span style=\"font-weight: 400\">On one hand, a persistent and concerning ethnicity pay gap exists. <\/span><span style=\"font-weight: 400\"><a href=\"https:\/\/www.ons.gov.uk\/employmentandlabourmarket\/peopleinwork\/earningsandworkinghours\/articles\/ethnicitypaygapsingreatbritain\/2012to2022\" target=\"_blank\" rel=\"noopener noreferrer\">Office of National Statistics data<\/a> from 2012 to 2022 demonstrates a persistent pay gap between Black British workers and their White counterparts.&nbsp;<\/span><\/p>\n<p><span style=\"font-weight: 400\">Black employees from outside the UK in particular (Black, African, Caribbean), earned up to 12% less, which translated to a substantial difference of<\/span><b> &pound;1.31 per hour<\/b><span style=\"font-weight: 400\"> &ndash; a disparity that has remained unchanged for over a decade, suggesting a deeply entrenched issue.<\/span><\/p>\n<p><span style=\"font-weight: 400\">There are some signs of progress, however. Asian or Asian British workers reported higher average hourly earnings compared to White workers in 2022. This suggests the gap might be narrowing in certain sectors due to an increase in new openings in the tech and financial spaces, and Asians occupying these higher-paying jobs.&nbsp;<\/span><\/p>\n<p><span style=\"font-weight: 400\">While this is a positive development, there is still a lot of work to do when it comes to equal pay across all ethnicities.<\/span>[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column]<\/p><div class=\"jumplink-anchor-section\">\n <div class=\"jumplink-anchor-pointer\" id=\"link-understanding-the-ethnicity-pay-gap\"><\/div>\n<\/div>\n[vc_column_text]\n<h2>Understanding the ethnicity pay gap<\/h2>\n<p><span style=\"font-weight: 400\">The ethnicity pay gap is a multifaceted issue with several contributing factors. Here are some key issues that contribute to it:<\/span><\/p>\n<h3>Occupational segregation<\/h3>\n<p><span style=\"font-weight: 400\">Occupational segregation is where certain ethnicities are disproportionately concentrated in specific professions &ndash; another significant factor contributing to the overall ethnicity pay gap, <\/span><a href=\"https:\/\/www.jrf.org.uk\/race-and-ethnicity\" target=\"_blank\" rel=\"noopener noreferrer\"><b>according to research<\/b><\/a><span style=\"font-weight: 400\"> by the <\/span><b>Joseph Rowntree Foundation<\/b><span style=\"font-weight: 400\">.&nbsp;<\/span><\/p>\n<p><span style=\"font-weight: 400\">Sectors traditionally dominated by ethnic minorities such as care work or hospitality have low average salaries (that just pass the <\/span><a href=\"https:\/\/startups.co.uk\/people\/payroll\/national-living-wage\/\"><b>national living wage<\/b><\/a><span style=\"font-weight: 400\">) in comparison to fields where ethnic minorities are underrepresented and hired less, such as finance or engineering.&nbsp;<\/span><\/p>\n<p><span style=\"font-weight: 400\">Across the board, this phenomenon also tends to relegate ethnic minorities to lower-paying jobs across various industries through stereotyping and unconscious bias, for example, what is recommended to you by job centres.<\/span><\/p>\n<p><span style=\"font-weight: 400\">This lack of diversity across job roles creates a defunct situation where <\/span><b>your<\/b> <b>ethnicity may determine your income<\/b><span style=\"font-weight: 400\">, not necessarily your qualifications or experience.<\/span><\/p>\n<p><span style=\"font-weight: 400\">This concentration in lower-paying jobs pulls down the average earnings for ethnic minorities compared to White workers. This is also a reason why White workers demonstrate a larger <a href=\"https:\/\/startups.co.uk\/people\/payroll\/class-pay-gap\/\">Class Pay Gap<\/a> than Black or Asian workers.<\/span><\/p>\n<h3>Psychological and systemic barriers<\/h3>\n<p><span style=\"font-weight: 400\">Beyond the structural barriers contributing to the ethnic pay gap, there&rsquo;s also a psychological dimension to consider. <\/span><a href=\"https:\/\/psycnet.apa.org\/fulltext\/1987-04662-001.pdf\" target=\"_blank\" rel=\"noopener noreferrer\"><b>Research<\/b><\/a><span style=\"font-weight: 400\"> from the <\/span><b>American Psychological Association<\/b><span style=\"font-weight: 400\"> suggests that experiences of discrimination and lower pay in the past can lead to a sense of <\/span><b>learned helplessness<\/b><span style=\"font-weight: 400\"> and reduced career aspirations among ethnic minorities.&nbsp;<\/span><\/p>\n<p><span style=\"font-weight: 400\">This can manifest as a lack of confidence in applying for higher-paying roles and a belief that success is unlikely due to past rejections. This reinforces the cycle of underrepresentation in higher-earning positions.<\/span><\/p>\n<p><span style=\"font-weight: 400\">Perpetual discouragement can lead to a self-fulfilling prophecy, where individuals internalise negative stereotypes and subconsciously limit their career aspirations.<\/span><\/p>\n<h3>The role of education<\/h3>\n<p><span style=\"font-weight: 400\">While education can be a powerful tool for upward mobility, it doesn&rsquo;t eliminate the pay gap. Even with similar qualifications, Black and Asian employees may still earn less than their White counterparts.&nbsp;<\/span><\/p>\n<p><b>The Institute for Fiscal Studies<\/b><span style=\"font-weight: 400\"> has also said in an article that there has <\/span><a href=\"https:\/\/ifs.org.uk\/news\/barely-any-change-gender-earnings-gap-last-25-years-once-you-account-increases-womens\" target=\"_blank\" rel=\"noopener noreferrer\"><b>barely been any change to the gender earnings gap<\/b><\/a><span style=\"font-weight: 400\"> in the last 25 years if you account for increases in women&rsquo;s education.<\/span><\/p>\n<h3>Beyond race<\/h3>\n<p><span style=\"font-weight: 400\">While the ethnicity pay gap is a major concern, it&rsquo;s crucial to acknowledge the intersectional factors at play.&nbsp;<\/span><\/p>\n<p><span style=\"font-weight: 400\">Earnings statistically decrease due to an individual&rsquo;s ethnicity, and decrease further if you are a woman: Women from minority ethnic backgrounds often experience <\/span><b>a double disadvantage<\/b><span style=\"font-weight: 400\">, facing a pay gap compared to both White men and White women.<\/span><\/p>\n<p><span style=\"font-weight: 400\">The practice of keeping salaries confidential, also known as pay secrecy, also hinders women&rsquo;s ability to negotiate for better pay and contributes to the persistent gender wage gap. While a direct causal link between the two hasn&rsquo;t been definitively established, data suggests a correlation.&nbsp;<\/span><\/p>\n<p><span style=\"font-weight: 400\">For example, <\/span><a href=\"https:\/\/www.ons.gov.uk\/employmentandlabourmarket\/peopleinwork\/earningsandworkinghours\/bulletins\/genderpaygapintheuk\/2023\" target=\"_blank\" rel=\"noopener noreferrer\"><b>women in the UK still earn 17.9% less<\/b><\/a><span style=\"font-weight: 400\"> than men per hour, according to the latest figures from the <\/span><b>Office for National Statistics (ONS)<\/b><span style=\"font-weight: 400\">. This translates to a median gender pay gap of &pound;2.81 per hour.<\/span><\/p>\n<p><span style=\"font-weight: 400\">This lack of transparency can disproportionately affect women, who may be less likely to initiate salary discussions or may feel less confident advocating for themselves.&nbsp;<\/span><\/p>\n<p><span style=\"font-weight: 400\">This goes even further if you are part of the <a href=\"https:\/\/startups.co.uk\/people\/payroll\/lgbtq-pay-gap\/\">LGBTQ community<\/a>.<\/span>[\/vc_column_text]\n <\/p><div class=\"highlight-box\">\n <div class=\"highlight-box-decor\">\n <svg class=\"brush-stroke-svg brush-stroke-big\" preserveaspectratio=\"none\" viewbox=\"0 0 116 6\" version=\"1.1\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" xmlns:xlink=\"http:\/\/www.w3.org\/1999\/xlink\">\n <g stroke=\"none\" stroke-width=\"1\" fill=\"#ea0037\">\n <path d=\"M94.0845406,5.55784045 C93.4629887,5.58758734 92.7723755,5.58758734 92.2198849,5.64708111 C92.0127009,5.66195455 91.7824965,5.67682799 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90.498157,4.05583706 C90.5885466,4.07523558 90.6186765,4.05583706 90.6789362,4.03643854 Z M86.2696559,4.0213508 C86.0888766,4.0213508 85.9080974,4.0213508 85.7273182,4.0213508 C85.546539,4.0213508 85.4260195,4.04074932 85.4862792,4.04074932 C85.6369286,4.04074932 85.8478377,4.06014784 86.0286169,4.06014784 C86.1792662,4.06014784 86.2696559,4.04074932 86.2696559,4.0213508 Z\"><\/path>\n <\/g>\n <\/svg>\n <\/div>\n <div class=\"highlight-box-headline\">\n \n <span class=\"highlight-box-title\">\n Pay cuts bias: a case study <\/span>\n <\/div>\n \n <div class=\"highlight-box-content\">\n <p><span style=\"font-weight: 400\">Let&rsquo;s say you are a black, LGBTQ woman applying for a role in tech, and the baseline wage (for a straight white man) with the same credentials at the industry standard would be &pound;100,000.<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400\"><b>Ethnicity pay gap: <\/b><span style=\"font-weight: 400\">you typically earn 19% less, so your wage becomes &pound;81,000 (100,000 * 0.81).<\/span><\/li>\n<li style=\"font-weight: 400\"><b>Gender pay gap:<\/b><span style=\"font-weight: 400\"> now you earn 10% less on the already reduced amount, resulting in &pound;72,900 (81,000 * 0.9).<\/span><\/li>\n<li style=\"font-weight: 400\"><b>LGBTQ+ pay gap:<\/b><span style=\"font-weight: 400\"> finally, another 5% decrease brings your wage to roughly &pound;69,255 (72,900 * 0.95).<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400\">Your estimated wage would be around &pound;69,000 &ndash; based on nothing other than biases around your gender, skin and orientation.<\/span><\/p>\n <\/div>\n <\/div>\n[vc_column_text]<span style=\"font-weight: 400\">Other factors include:<\/span>\n<ul>\n<li style=\"font-weight: 400\"><b>Unconscious bias: <\/b><span style=\"font-weight: 400\">Unconscious bias is a prejudice or stereotype that influences our thoughts and actions without our conscious awareness. When they are based on race or ethnicity, they can influence hiring, promotions and salary, even if the employer is unaware of it. <\/span><a href=\"https:\/\/hbr.org\/2022\/02\/are-you-aware-of-your-biases\" target=\"_blank\" rel=\"noopener noreferrer\"><b>A study<\/b><\/a><span style=\"font-weight: 400\"> by <\/span><b>Harvard Business Review<\/b><span style=\"font-weight: 400\"> found that resumes with stereotypically &ldquo;White-sounding&rdquo; names received 50% more callbacks than those with stereotypically &ldquo;Black-sounding&rdquo; names, highlighting the impact of unconscious bias in the hiring process, even when the qualifications were identical.<\/span><\/li>\n<li style=\"font-weight: 400\"><b>Discrimination:<\/b> <a href=\"https:\/\/www.runnymedetrust.org\/\" target=\"_blank\" rel=\"noopener noreferrer\"><b>A 2023 report<\/b><\/a><span style=\"font-weight: 400\"> by <\/span><b>The Runnymede Trust<\/b><span style=\"font-weight: 400\">, a UK-based race equality think tank, found that 60% of Black, Asian and Minority Ethnic (BAME) employees in the UK believe they have experienced racial discrimination at work.<\/span><\/li>\n<li style=\"font-weight: 400\"><b>Perception of skills: <\/b><span style=\"font-weight: 400\">while qualifications are important, perception of skills and experience can be influenced by ethnicity. <\/span><a href=\"https:\/\/www.cipd.org\/uk\/knowledge\/factsheets\/race-employment-discrimination-factsheet\/\" target=\"_blank\" rel=\"noopener noreferrer\"><b>A 2022 study<\/b><\/a><span style=\"font-weight: 400\"> by the <\/span><b>Chartered Institute of Personnel and Development (CIPD)<\/b><span style=\"font-weight: 400\">, the UK&rsquo;s professional body for HR, revealed that 24% of BAME respondents felt their skills and experience were undervalued compared to their White colleagues.<\/span><\/li>\n<li style=\"font-weight: 400\"><b>Unequal access to education and training: <\/b><span style=\"font-weight: 400\">ethnic minorities may face barriers to accessing quality education and training programs, which can limit their job opportunities (particularly in <a href=\"https:\/\/startups.co.uk\/people\/payroll\/startup-gender-pay-gap\/\">startups<\/a>) and earning potential. <\/span><a href=\"https:\/\/www.runnymedetrust.org\/publications\/parliamentary-briefing-ethnicity-pay-gap-reporting-shareaction\" target=\"_blank\" rel=\"noopener noreferrer\"><b>A 2021 report<\/b><\/a><span style=\"font-weight: 400\"> by the <\/span><b>Runnymede Trust<\/b><span style=\"font-weight: 400\"> found that BAME students were less likely than White students to attend top universities. Additionally, the cost of some private training programs, especially after <\/span><a href=\"https:\/\/startups.co.uk\/people\/payroll\/national-insurance-rates\/\"><b>National Insurance (NI)<\/b><\/a><span style=\"font-weight: 400\"> deductions from salaries, can be a barrier for some individuals.<\/span><\/li>\n<\/ul>\n<p>[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column]<\/p><div class=\"jumplink-anchor-section\">\n <div class=\"jumplink-anchor-pointer\" id=\"link-what-can-be-done-to-close-the-ethnicity-pay-gap\"><\/div>\n<\/div>\n[vc_column_text]\n<h2>What can be done to close the ethnicity pay gap?<\/h2>\n<p><span style=\"font-weight: 400\">Startups conducted exclusive research on the ethnicity pay gap, surveyed over 600 people, and found a generally positive outlook on employee compensation.&nbsp;<\/span><\/p>\n<p><span style=\"font-weight: 400\">A significant majority, 71%, of businesses believe they will<\/span><b> likely meet employee pay expectations<\/b><span style=\"font-weight: 400\">. This optimism extends further, with 70% expressing confidence in <\/span><b>exceeding expectations<\/b><span style=\"font-weight: 400\">.<\/span><\/p>\n<p><span style=\"font-weight: 400\">However, a minority, 8%, hold a less optimistic view. This includes 2% who believe it&rsquo;s not likely at all, and 6% who find it not very likely that they will meet pay expectations this year. This could be due to financial constraints or a more conservative compensation strategy.<\/span><\/p>\n<p><span style=\"font-weight: 400\">The research also highlights industry differences, particularly on the matter of Diversity, Equity, and Inclusion (DEI). The <\/span><b>Creative Arts and Media<\/b><span style=\"font-weight: 400\"> sector leads in commitment to enhancing DEI initiatives this year (13%), while <\/span><b>Transportation<\/b><span style=\"font-weight: 400\"> and <\/span><b>Education<\/b><span style=\"font-weight: 400\"> lag behind (0%).<\/span><\/p>\n<p><span style=\"font-weight: 400\">Addressing the ethnicity pay gap requires a multi-pronged approach, focusing on both policy and workplace practices:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400\"><b>Promoting transparency:<\/b><span style=\"font-weight: 400\"> pay transparency initiatives, where salary ranges are made public for all roles, can help expose and address unfair pay discrepancies. Just <\/span><a href=\"https:\/\/startups.co.uk\/news\/pay-secrecy-despite-wage-rise\/\"><b>51.5% of UK job ads<\/b><\/a><span style=\"font-weight: 400\"> disclosed an intended salary or salary range in April 2023 in the UK, signifying a corporate desire for flexibility and secrecy in their wage schemes. In a bold and progressive response to this, the EU recently passed the <\/span><a href=\"https:\/\/kpmg.com\/uk\/en\/home\/insights\/2023\/12\/pay-transparency-no-more-secrets.html\" target=\"_blank\" rel=\"noopener noreferrer\"><b>Pay Transparency Directive<\/b><\/a><span style=\"font-weight: 400\">, which will <\/span><b>require companies to be more transparent<\/b> <b>on pay<\/b><span style=\"font-weight: 400\"> from 7 June 2026 &ndash; although news of this for the UK remains to be seen.<\/span><\/li>\n<li style=\"font-weight: 400\"><b>Upskilling and reskilling programs: <\/b><span style=\"font-weight: 400\">targeted programmes designed to address the skills gap faced by some ethnic minorities can equip them for higher-paying jobs. Initiatives like the ones offered by <\/span><b>The Bridge Group<\/b><span style=\"font-weight: 400\"> (a UK-based social enterprise focused on skills development) can provide <\/span><a href=\"https:\/\/www.thebridgegroup.uk.com\/\" target=\"_blank\" rel=\"noopener noreferrer\"><b>valuable training and support<\/b><\/a><span style=\"font-weight: 400\"> to help ethnic minorities gain the skills needed for success in high-demand sectors.<\/span><\/li>\n<li style=\"font-weight: 400\"><b>Unconscious bias training: <\/b><span style=\"font-weight: 400\">unconscious bias often plays a role in hiring and promotion decisions. Educating employers and managers on unconscious bias and its impact on recruitment and promotion decisions is crucial. <\/span><b>The Equality and Human Rights Commission (EHRC)<\/b><span style=\"font-weight: 400\"> offers <\/span><a href=\"https:\/\/www.equalityhumanrights.com\/\" target=\"_blank\" rel=\"noopener noreferrer\"><b>resources and training programs<\/b><\/a><span style=\"font-weight: 400\"> to help employers recognise and mitigate unconscious bias in the workplace.<\/span><\/li>\n<li style=\"font-weight: 400\"><b>Mentorship and sponsorship programs: <\/b><span style=\"font-weight: 400\">connecting employees from minority backgrounds with mentors and sponsors can provide valuable guidance and support for career advancement. Organisations like <\/span><b>Women in Technology (WIT)<\/b><span style=\"font-weight: 400\">, a prominent UK organisation dedicated to empowering women in the tech sector, offer <\/span><a href=\"https:\/\/wit-hub.web.cern.ch\/\" target=\"_blank\" rel=\"noopener noreferrer\"><b>targeted mentorship programmes<\/b><\/a><span style=\"font-weight: 400\">. These programmes connect women and ethnic minorities with experienced professionals who can provide valuable guidance and support on career development, skill-building, and navigating the tech industry.<\/span><\/li>\n<li style=\"font-weight: 400\"><b>Government legislation: <\/b><span style=\"font-weight: 400\">stronger legislation requiring employers to demonstrate fair pay practices across ethnicities is crucial to enforce change. <\/span><a href=\"https:\/\/www.legislation.gov.uk\/ukpga\/2010\/15\/contents\" target=\"_blank\" rel=\"noopener noreferrer\"><b>The Equality Act 2010<\/b><\/a><span style=\"font-weight: 400\"> in the UK prohibits discrimination based on race or ethnicity, but further measures may be needed to ensure its effective implementation. Ethnicity pay gap reporting is not yet a legal requirement in the UK, however, the government has issued <\/span><a href=\"https:\/\/www.gov.uk\/government\/publications\/ethnicity-pay-reporting-guidance-for-employers\" target=\"_blank\" rel=\"noopener noreferrer\"><b>guidance to support employers<\/b><\/a><span style=\"font-weight: 400\"> who choose to do so voluntarily.<\/span><\/li>\n<li style=\"font-weight: 400\"><a href=\"https:\/\/startups.co.uk\/news\/embracing-diversity\/\"><b>Diversity, equity and inclusion<\/b><\/a><b> initiatives:<\/b><span style=\"font-weight: 400\"> implementing effective DEI initiatives, like unconscious bias training, diverse recruitment practices, and mentorship programs for underrepresented groups, can create a more equitable workplace culture and dismantle unconscious bias. 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86.0286169,4.06014784 C86.1792662,4.06014784 86.2696559,4.04074932 86.2696559,4.0213508 Z\"><\/path>\n <\/g>\n <\/svg>\n <\/div>\n <div class=\"highlight-box-headline\">\n \n <span class=\"highlight-box-title\">\n Ethnicity & Gen Z <\/span>\n <\/div>\n \n <div class=\"highlight-box-content\">\n <p><span style=\"font-weight: 400\">A 2023 report by TapIn (entitled <\/span><a href=\"https:\/\/www.thisisblackgenz.com\/\" target=\"_blank\" rel=\"noopener noreferrer\"><b>This is Black Gen Z<\/b><\/a><span style=\"font-weight: 400\">, a comprehensive guide for employers) found that 48% of Gen Z, those people born between 1997 and 2012, are racially and ethnically diverse, while census data from England and Wales found that about one in four are ethnically and racially diverse.<\/span><\/p>\n<p><span style=\"font-weight: 400\">They expect to find the same representation in the office as in their local communities.&nbsp;<\/span><\/p>\n<p><span style=\"font-weight: 400\">&ldquo;We want companies to do everything they can to make sure that the workplaces we&rsquo;re moving into are reflective of how we&rsquo;ve grown up,&rdquo; says <\/span><b>Mils Banji, founder of TapIn<\/b><span style=\"font-weight: 400\">.<\/span><\/p>\n <\/div>\n <\/div>\n[\/vc_column][\/vc_row][vc_row][vc_column]<div class=\"jumplink-anchor-section\">\n <div class=\"jumplink-anchor-pointer\" id=\"link-conclusion\"><\/div>\n<\/div>\n[vc_column_text]\n<h2>Conclusion<\/h2>\n<p><span style=\"font-weight: 400\">The persistent ethnicity pay gap in the UK workplace isn&rsquo;t a reflection on any individual or racial group, nor is this research intended to shame high earners.&nbsp; Instead, it serves as a call to action for corporations to acknowledge and address biases within their hiring and promotion practices.&nbsp;<\/span><\/p>\n<p><span style=\"font-weight: 400\">Working together can help unlock the UK&rsquo;s full economic potential &ndash; benefiting individuals and corporations alike in <\/span><a href=\"https:\/\/startups.co.uk\/people\/management\/four-hybrid-work-types\/\"><b>retaining the best possible talent<\/b><\/a><span style=\"font-weight: 400\">, regardless of background: a win-win scenario for everyone involved.<\/span>[\/vc_column_text][\/vc_column][\/vc_row]<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>[vc_row][vc_column][vc_column_text]Fair pay is a cornerstone of a healthy economy and society. Yet, in the UK, we&rsquo;ve seen an enduring gap between what men and women earn for the same role. An ethnicity pay gap refers to the difference in average earnings between different ethnic groups within the labour market against the traditional &ldquo;reference market&rdquo; which [&hellip;]<\/p>\n","protected":false},"author":91509,"featured_media":158526,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[4224,3341],"tags":[],"acf":[],"yoast_head":"\n<title>The UK Ethnicity Pay Gap Report [2024]<\/title>\n<meta name=\"description\" content=\"A level playing field in the UK workplace remains elusive, but we explore root causes and discuss potential solutions for a better future.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/startups.co.uk\/people\/payroll\/ethnicity-pay-gap\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" 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