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David Cameron to set out plans to tackle gender pay gap David Cameron to set out plans to tackle gender pay gap
(about 4 hours later)
The government is to press ahead with plans to force large firms to disclose data on the gender pay gap among staff.The government is to press ahead with plans to force large firms to disclose data on the gender pay gap among staff.
A consultation on the measure - introduced in the final months of the coalition - is to begin on Tuesday.A consultation on the measure - introduced in the final months of the coalition - is to begin on Tuesday.
David Cameron will say the move will "pressure" firms into boosting women's wages, as he vows to eliminate the gender pay gap "within a generation".David Cameron will say the move will "pressure" firms into boosting women's wages, as he vows to eliminate the gender pay gap "within a generation".
Labour welcomed the move, but said the government had been slow to act on pay transparency.Labour welcomed the move, but said the government had been slow to act on pay transparency.
In November last year, Office for National Statistics figures suggested that the gender pay gap was at its narrowest since comparative records began in 1997.
The difference was 9.4% in April compared with 10% a year earlier.
'So important''So important'
The coalition legislated in the last Parliament to require firms with more than 250 employees to publish the average pay of male and female employees - with the measures to be introduced in 12 months.The coalition legislated in the last Parliament to require firms with more than 250 employees to publish the average pay of male and female employees - with the measures to be introduced in 12 months.
The Liberal Democrats pushed for the policy at the time despite Conservative opposition - however, the Tories included mandatory equal pay reporting in their election manifesto.The Liberal Democrats pushed for the policy at the time despite Conservative opposition - however, the Tories included mandatory equal pay reporting in their election manifesto.
Confirming that the government will press ahead with the move, Mr Cameron will say it will "cast sunlight on the discrepancies and create the pressure we need for change, driving women's wages up".Confirming that the government will press ahead with the move, Mr Cameron will say it will "cast sunlight on the discrepancies and create the pressure we need for change, driving women's wages up".
A consultation will look at the detail of how the new gender pay gap regulations will be designed - including what, where and when information will be published.A consultation will look at the detail of how the new gender pay gap regulations will be designed - including what, where and when information will be published.
Writing in the Times ahead of a speech to business leaders, David Cameron said the new National Living Wage would also play an important role.Writing in the Times ahead of a speech to business leaders, David Cameron said the new National Living Wage would also play an important role.
"This will primarily help women, who tend to be in lower paid jobs," he said. "It will help close the gender pay gap."This will primarily help women, who tend to be in lower paid jobs," he said. "It will help close the gender pay gap.
"But we need to go further, and that's why introducing gender pay audits is so important.""But we need to go further, and that's why introducing gender pay audits is so important."
'Good news''Good news'
It comes as the government announces that a target of getting women into at least a quarter of boardroom seats at the UK's biggest firms by 2015 had been met.It comes as the government announces that a target of getting women into at least a quarter of boardroom seats at the UK's biggest firms by 2015 had been met.
Lord Davies had set the target in 2011 after conducting a review into the gender balance on company boards.Lord Davies had set the target in 2011 after conducting a review into the gender balance on company boards.
Women and equalities minister Nicky Morgan said she was "delighted" that the 25% target had been met but she warned that there could be no "complacency".Women and equalities minister Nicky Morgan said she was "delighted" that the 25% target had been met but she warned that there could be no "complacency".
She said eliminating the gender pay gap was the "right thing to do" and made "good business sense".She said eliminating the gender pay gap was the "right thing to do" and made "good business sense".
Ms Morgan's opposition counterpart, Gloria De Piero, said it was "good news" ministers had "finally embraced pay transparency after shelving the Labour legislation for five years".Ms Morgan's opposition counterpart, Gloria De Piero, said it was "good news" ministers had "finally embraced pay transparency after shelving the Labour legislation for five years".
But she added: "For pay transparency to make a real difference, we need to have an annual equal pay check which measures progress and recommends what action needs to be taken - a move the government voted against earlier this month". But she added that an annual equal pay check to measure progress was needed for pay transparency to "make a real difference".
Lib Dem former equalities minister Jo Swinson said: "It is more than 40 years since the Equal Pay Act, so saying we can afford to wait for another generation to close it is, to put it mildly, unambitious. Lib Dem former equalities minister Jo Swinson said: "Saying we can afford to wait for another generation to close it is, to put it mildly, unambitious.
"The UK economy is currently missing out on the talents of too many women. In government, my Lib Dem colleagues and I fought tooth and nail with the Conservatives to get them to agree to even minimal changes to help close the gender pay gap. "The UK economy is currently missing out on the talents of too many women. In government, my Lib Dem colleagues and I fought tooth and nail with the Conservatives to get them to agree to even minimal changes to help close the gender pay gap."
"They refused to introduce these exact plans for five years, only relenting in March after huge pressure from the Liberal Democrats in government.
"For them to now try and pretend this is a new announcement and that they have championed this cause all along is an insult to people who have campaigned for equal gender pay for decades."
'Challenge stereotypes'
Confederation of British Industry deputy director-general Katja Hall said of the 25% target being met: "Businesses recognise the value of having a diverse board that reflects society and their customers. That is why we have reached this important milestone on time.
"But we must not let our guard drop. Progress has relied on making sure new appointments are diverse, and this must continue as women appointed since the Davies report begin to end their terms on boards and replacements are sought."
She said addressing the gender pay gap "is the right priority", adding that a target should be set for reducing it.
She added: "While we believe publishing pay gap data could be misleading, we will work with the government to ensure that rules on what is published are flexible enough to be relevant to each company.
"To see real progress, however, we need to challenge occupational stereotypes by encouraging more women into male-dominated industries and investing in careers advice."
'Break down barriers''Break down barriers'
Lingerie tycoon Michelle Mone, founder of the Ultimo underwear company, said the pay disclosure requirement was "absolutely fantastic". Confederation of British Industry deputy director-general Katja Hall said of the 25% target being met: "Businesses recognise the value of having a diverse board that reflects society and their customers. That is why we have reached this important milestone on time.
"Today's announcement will highlight those companies where the pay gap is persisting. I hope this will empower women to challenge this state of affairs and ask why," she said. "But we must not let our guard drop. Progress has relied on making sure new appointments are diverse, and this must continue."
Federation of Small Businesses chairman John Allan said the organisation looked forward to taking part in the consultation. Michelle Mone, founder of the Ultimo underwear company, said the pay disclosure requirement was "absolutely fantastic" and hoped it would "empower women to challenge this state of affairs".
He said "we need to keep up the momentum and break down the remaining barriers that prevent women progressing in the workplace and the boardroom". John Allen, chairman of the Federation of Small Businesses, said: "We need to keep up the momentum and break down the remaining barriers that prevent women progressing in the workplace and the boardroom".
Lloyds Banking Group chief executive Antonio Horta Osorio said it looked forward to making sure "the views of British business are taken into consideration when implementing this policy". What do you think of the government's plans to close the gender pay gap? Do you welcome pay transparency?
In November last year official figures suggested that the gender pay gap had shrunk to a record low. Please include your telephone number if you are willing to speak to a BBC journalist.
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