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Latest NewsGender pay gap

Gender pay gap narrows again

by Rob Moss 29 Oct 2024
by Rob Moss 29 Oct 2024 Shutterstock
Shutterstock

The average gender pay gap in the UK continues to narrow according to new data from the Office for National Statistics, but the picture remains complex depending on age, occupation, region and industry sector.

Over the past decade, it has fallen by approximately a quarter among full-time employees, and in April 2024, it stood at 7%, down from 7.5% in 2023.

Full-time median hourly earnings excluding overtime were £19.24 for men and £17.88 for women in April 2024. For part-time employees, they were £13 for men and £13.40 for women.

The average gender pay gap measures the difference between average hourly earnings excluding overtime of men and women, as a proportion of men’s pay excluding overtime. The ONS data is from the Annual Survey of Hours and Earnings (ASHE) and is not associated with the gender pay gap reporting obligations of UK employers.

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The gender pay gap is wider for employees aged 40 years and over, than those aged under 40 and is larger among high earners than among lower-paid employees.

Among all employees, the gender pay gap decreased to 13.1% in April 2024, down from 14.2% in April 2023. For part-time employees, the gender pay gap was -3.0% meaning women received more pay. In April 2023, it was -2.5%.

This is because women fill more part-time jobs. Compared with full-time jobs, part-time jobs have lower hourly median pay. ASHE data show that in 2024, about 85% of male employees worked full-time, compared with 61% of female employees.

For managing directors and senior officials, the gender pay gap widened from 9.2% in 2023 to 9.8% in 2024. Similarly, pay gaps for professional occupations grew from 8.7% to 10% and associate professional and technical jobs from 10.8% to 12.3%.

In April 2024, the gender pay gap for full-time employees aged under 40 was narrower than those aged over 40. For example, for those aged 30-39, it stood at 4.4%, while for employees aged 40-49, it was more than double at 9.1%.

The gender pay gap decreased across most age groups between 2023 and 2024. However, for those aged 50-59, it increased from 11.1% to 12.1%. For those aged 18-21, it remained at -0.5%. The largest decrease was seen among employees aged 22 to 29 years, where the gender pay gap almost halved from 2.5% to 1.3%.

For high earners – those with pay in the top 10% – the gender pay gap was 15.5%, up from 14.9% last year. While for low earners in the bottom 10%, it stood at 2.7%, down from 3%.

The gender pay gap varied substantially between regions in April 2024. It was higher in every region of England than in Northern Ireland (0.8%), Scotland (2.2%) and Wales (1.9%). This was a very different pattern from 1997, when the gender pay gap was relatively equal between the regions of the UK. London and the South East had the widest gender pay gaps of 12.4% and 13.5% in 2024, down from 1997 when they stood at 15.1% and 20.1% respectively.

TUC general secretary Paul Nowak said: “The gender pay gap is closing at a snail’s pace. At this rate, it will still take 16 years to close. We need bolder action so that we don’t consign another generation of women to pay inequality.”

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The government’s Employment Rights Bill will require large employers to publish clear action plans on how they will close their gender pay gaps.

 

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Rob Moss

Rob Moss is a business journalist with more than 25 years' experience. He has been editor of Personnel Today since 2010. He joined the publication in 2006 as online editor of the award-winning website. Rob specialises in labour market economics, gender diversity and family-friendly working. He has hosted hundreds of webinar and podcasts. Before writing about HR and employment he ran news and feature desks on publications serving the global optical and eyewear market, the UK electrical industry, and energy markets in Asia and the Middle East.

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