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20.08.13

CMI data shows ‘damaging’ bonus gap between men and women

Male managers are earning bonuses double those given to female colleagues in identical jobs, new research from the Chartered Management Institute (CMI) highlights.

On average men in management positions received bonuses of £6,442 compared to £3,029 for women and basic salaries were 25% higher. The more senior the position, the wider the gap and the report also showed male managers’ earnings rose faster than women’s.

At the most senior level, male earnings rose by 5.3% over the past year, compared with 1.1% for female directors.

The CMI has called for a greater focus on transparency, with companies doing more to measure and report on equality. Flexible working should be extended for both men and women, and sponsoring and mentoring schemes should be further developed.

Ann Francke, the CMI's chief executive said: “Despite genuine efforts to get more women onto boards, it’s disappointing to find that not only has progress stalled, but women are also losing ground at senior levels. Women are the majority of the workforce at entry level but still lose out on top positions and top pay. The time has come to tackle this situation more systemically.

“It's time to move this [issue into] the mainstream management agenda. This is about changing our approach to management to allow for greater flexibility, less masculine cultures, more emphasis on outcomes rather than time in the office and greater transparency around performance and rewards.

“In solving this issue we would actually raise the performance of organisations and the wellbeing of individuals at work. What are we waiting for?”

Maria Miller, the minister for women and equalities, said: “[The CMI] figures are yet another damaging example highlighting that, in the world of work, women still lose out to their male counterparts and that the playing field is far from equal.

“Changes in the workplace are happening and it's good that the pay gap is closing – but there is still more to do before we see full equality in the workplace.

“The Government is playing its part, we have made pay secrecy clauses illegal; given tribunals the power to force employers who break equal pay laws to carry out equal pay audits and signed 120 companies up to our Think, Act, Report scheme which encourages companies to improve the way they recruit, promote and pay women.

“We've also looked at other pay gap causes such as having to juggle work and family responsibilities by introducing shared parental leave and the right to request flexible working to all employees.”

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