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Lord Davies' boardroom target reached, but more to do on pay gap


The target of getting women into a quarter of boardroom seats in FTSE 100 companies has been reached, the Government has announced.

It was set in 2011 by Lord Davies, following a review into female representation on the UK's top company tables. At the time, only one in eight seats were held by women.

No all-male boards remain in FTSE 100 companies, down from 21 in 2011. But the number of women executive directors stands at less than 10 per cent.

Now, there are more women-led businesses than ever before, a record number of women in work, and the gender pay gap is at an all-time low, the Government said.

More to do on the pay gap

But the pay gap in April stood at 9.4 per cent, or around £100 per week. Recent research from Prudential found that the average woman will be almost 70 years old before she earns £1 million in total wages over the length of her career, but a man will achieve the same milestone before his 51st birthday.

To tackle the gender gap, every company with more than 250 employees will have to publish the difference between the average pay of their male and female employees, following a consultation on the best ways to approach the issue, the Government said.

The new National Living Wage, which starts next April at £7.20 per hour, will primarily help women - who tend to be in lower paid jobs - and will help close the gender pay gap, the Government claimed.

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Men and women doing equal work or work rated as of equal value are entitled to equal pay.

Acas can visit your organisation and help you identify what needs to be done to find practical solutions to issues related to Equality and diversity, and help you to avoid using a discriminatory pay system; see Pay and reward: how Acas can help.

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