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Equality, diversity and inclusionDisabilityLatest NewsPay & benefits

Disability pay gaps remain stable

by Kavitha Sivasubramaniam 17 Oct 2024
by Kavitha Sivasubramaniam 17 Oct 2024 Shutterstock/ PeopleImages.com - Yuri A
Shutterstock/ PeopleImages.com - Yuri A

Disabilities pay gaps in the UK have remained stable since 2014, new data has revealed.

Latest figures from the Office for National Statistics to 2023 showed a 12.7% pay gap between disabled and non-disabled employees, with median hourly pay rates of £13.69 and £15.69 respectively.

The gap is wider for men, at 15.5% versus 9.6% for women, and also for full-time staff, at 11.2% compared to 4.1% for part-time workers.

According to the data, employees who were significantly limited by their disability experienced the biggest disability pay gap of 17.1%, followed by 11.2% for those who were a little limited.

One of the widest gaps of 27.9% was found to be among disabled employees with autism, as well as 26.9% for workers with epilepsy and 20.3% for those with severe or specific learning difficulties.

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The statistics suggested that factors including occupation, age, qualifications and geography, had the biggest impact on the disability pay gap.

Given the government’s plans to potentially impose disability pay gap reporting on employers, Sam Greenhalgh, employment partner at law firm Birketts, warns employers should take action now to prepare.

He said: “Employers should be hearing alarm bells ringing following these latest disability pay gap figures. Though the gap has remained largely the same since 2014, it is still a gap and has even greater significance for employers following plans announced by the government only last week to bring disability and ethnicity pay gap reporting in line with gender pay reporting and making it mandatory.

“Many businesses and other employers get their gender pay gap reporting wrong, but with little consequence. With the potential requirement to, in future, add disability and pay gap reporting into the mix, it is time for employers and their HR and payroll teams to get their house in order now.”

Greenhalgh added that employers now need to take a close look at their pay structures and reporting requirements and make sure they are getting them right before further, mandatory reporting comes into force.

Tom Heys, pay reporting lead at Lewis Silkin, believes the report highlights that the UK has a long way to go when it comes to true inclusion of disabled workers.

He said: “Employment and economic activity rates for disabled people remain stubbornly low, revealing the systemic barriers they face in the workforce.

“Disability isn’t one-size-fits-all. It spans a spectrum from chronic conditions like diabetes and cancer to neurodiverse traits such as autism, and physical impairments like paralysis. Many people who qualify as ‘disabled’ may not even identify that way, while others keep quiet, fearing career repercussions. It’s much like ethnic diversity – different groups face different challenges, and a blanket approach won’t work.”

Hayes believes that while Labour’s commitment to mandatory disability pay gap reporting for larger employers is a step forward, it needs a clear timeline.

He added: “Employers trying to get ahead of these changes encounter hurdles: datasets are often incomplete, and how ‘disability’ is defined can drastically change the picture. This lack of clarity makes it hard for employees to compare employers effectively.

“For real progress, employers must be authentic and go beyond ticking boxes. They need to build a culture of openness and transparency, one that admits current shortcomings, empowers leaders to share their own stories, and prioritises disability and wellbeing as integral parts of the business.”

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Kavitha Sivasubramaniam

Kavitha Sivasubramaniam is an experienced journalist, editor and communications professional who has been working in B2B publishing for more than 17 years. After graduating from Bournemouth University with a degree in Multi Media Journalism, Kavitha started her career in local and regional newspapers, before moving to consumer magazines and later trade titles, as well as PR. Specialising in pay and reward, she has been editor of a number of HR publications including Pay & Benefits, Employee Benefits, Benefits Expert, Reward and CIPP’s membership magazine, Professional. In June 2024, she won Pay, Reward and Employee Benefits Journalist of the Year at the Willis Towers Watson media awards. She was also named one of Each Person’s top 20 influential HR bloggers and managed a highly commended content team of the year in 2019.

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