Background

The Royal Academy of Engineering welcomes the government legislation on gender pay gap reporting as a tool to encourage transparency and gender parity in the workforce.

 

The Academy believes that this will shine a light on the fact that women are under-represented at senior levels, in occupations that pay higher salaries, in part time roles and in shift work that attracts additional payments.

 

The Academy is committed to supporting and encouraging engineering-based companies to increase the diversity of their workforce at all levels through a significant programme of work. More details can be found here.  

 

The Academy has found that engineering businesses still have a smaller proportion of women working in engineering roles, and that the number of women entering and working in the sector undermines its ability to have the skills it needs for the future. Work on the gender pay gap has further reinforced this.

 

The Academy released a response to the Gender Pay Gap reporting in April 2019, available here.

 

What has the Academy done?

The Academy’s Diversity and Inclusion Leadership Group of engineering employers and employer-led organisations formed a sub-group of twelve interested organisations to look at the implications of this reporting for engineering organisations prior to the initial reporting date of April 2018. 

 

The following insights were found:

  • There was a wide distribution of pay and bonus levels across all participants, demonstrating the diversity that exists across the 12 organisations. There was no common thread for the ’engineering’ sector in financial measures. 
  • This contrasted with a common theme in all organisations. There are proportionally fewer women in senior positions than there are in the working population, which is shown through the distribution of women in the quartile pay bands.
  • This would indicate that a primary driver of the gender pay gap in the sector is the lack of seniority of women in the sector, as more senior roles attract a higher salary and are more likely to earn a larger bonus