Gender Pay Gap

Baroness Gale Excerpts

Monday 26th November 2018 Lords Chamber

[Baroness Williams of Trafford]

The noble Baroness asks a very pertinent question. There can be a break in national insurance contributions for people who work and then step out of work, or who work from home. A flexible workforce is important to the future economy, but it must not disbenefit people’s pension take when they retire.

[Baroness Gale (Lab)]

My Lords, it is nearly 50 years since the Equal Pay Act was passed and women still earn a lot less than men. The most recent statistics show that the gap is now 13.7%. Does the Minister agree that we should take much stronger action? The legislation is good as far as it goes, but women have been patient on this issue for an awfully long time and it ought to be strengthened. The pay gap audit, where companies employing over 250 people have to produce plans, is very good. Will the Minister have another look at this and see what can be done to strengthen it and make progress a lot quicker than it is now?

[Baroness Williams of Trafford]

To a certain extent I wholeheartedly agree with the noble Baroness. The Equal Pay Act was brought in in 1970 and strengthened through the Equality Act 2010, but we still hear stories about huge disparities in pay between men and women who do pretty much the same job. The legislation has recently been updated, and any employer who is not paying men and women who do the same or a similar job equally is liable to court action. There is a very strong regime in place for that.