Gender Pay Gap Report 2023
Introduction
For the second year, we have recorded a median gender pay gap in favour of women:
From 2017 onwards, all UK organisations employing 250 or more employees were required to publicly report on their gender pay gap.
This includes the mean gender pay gap, the median gender pay gap and the number of men and women in the different salary groups. Gender pay gap reporting does not mean that organisations are required to report on equal pay.
Equal pay issues arise when there are differences in the actual earnings of men and women doing equal work. Paradigm is an equal pay employer.
We took a snapshot of our salary data on 5 April 2023, and this returned pay gap results for a total of 556 people consisting of 282 men and 274 women (compared with a total of 535 people in 2022 consisting of 275 men and 260 women). However, 9 employees were excluded as they were not in receipt of their full contractual pay on the snapshot date as they were on periods of approved absence. The detailed analysis is therefore based on 547 employees.
For the second consecutive year, we have reported a median gender pay gap in favour of women. The results show a:
- median gender pay gap of -4.98 % in favour of women (compared with -3.05% in favour of women in 2022). This is the second time
Paradigm has reported a median gender pay gap in favour of women - mean gender pay gap of 2.94% in favour of men (compared with 4.81% in 2022).
The number of men and women according to quartile pay band
| Number of employees | Males | Females | Split | Split prior year (2021) | |
|---|---|---|---|---|---|
| Quartile 1 (Lowest paid) | 137 | 68 | 69 | 50:50 | 31:69 |
| Quartile 2 | 137 | 84 | 53 | 61:39 | 78:22 |
| Quartile 3 | 137 | 58 | 79 | 42.58 | 45.55 |
| Quartile 4 (Highest paid) | 136 | 67 | 69 | 49:51 | 53:47 |
At headline level, Paradigm’s workforce remains reasonably well balanced – 51% male and 49% female. This is in line with the overall balance since the first report in 2017.
For the first time, there is a greater proportion of women (51%) in the fourth (most highly paid) pay quartile with 9 more women being appointed in to or awarded salaries in this quartile. Men hold the greater proportion in the second pay quartile only (61%). However, while the proportion of men in the second pay quartile has significantly reduced, the proportion of men in the first (lowest paid) pay quartile has significantly increased year on year from 31% to 50%.
This has resulted in us seeing a median gender pay gap in favour of women for the second year in a row and a narrowing of the mean (average) pay gap also for the second year running.
Mean bonus gender pay gap
| Gender | Records | Average (mean) |
|---|---|---|
| Male | 219 | £514.51 |
| Female | 208 | £430 |
Difference: 22.35%
Median bonus gender pay gap
| Gender | Records | Average (mean) |
|---|---|---|
| Male | 219 | £369 |
| Female | 208 | £332 |
Difference: 10.03%
The bonus was paid to employees who started before 1 April 2022 and relates to a performance period from 1 April 2021 – 31 March 2022. Therefore, it was paid to 427 people, significantly fewer than the number included in the salary pay gap measures.
The mean bonus gender pay gap can partly be explained by the fact that more women than men work part time hours. The gender pay gap regulations require us to report on the difference in the actual amount of bonus received and does not reflect the hours worked by individual employees. This is different to the gender pay gap calculations on salary which compares hourly pay rates.
Bonus payments were made to a considerably higher proportion of employees than in 2022. The bonus pay gap results show 77.6% of male employees and 75.91% of female employees received bonuses. We have analysed the performance ratings, on which bonuses are based, and found that there was not a significant difference between the number of men (51%) and women (48%) receiving the highest two ratings in April 2022.
However, even this relatively small difference has had a disproportionate impact on the mean bonus gender pay gap.
We’re really proud to have made such progress on the Gender Pay Gap over the past few years, but this is far from a finished story. This continues to be a priority for us, and a foundation stone of our wider EDI goals in the future.
Our action plan
We are keen to build on our improved result and have identified the following action points:
- Supporting flexible and agile working practices for all, including supporting requests for flexible and part time work and promoting shared parental leave where appropriate.
- Continuing to support internal mobility for all, monitoring performance against our internal mobility KPI and advertising progression and promotion routes and opportunities.
- We will further scrutinise our recruitment and selection processes to ensure we are inclusive at every stage and are attractive and inviting to all.
- We will continue to base the salaries we pay on the market “spot” salary for the role in question. We will continue to monitor pay as we implement any changes to pay determination to ensure that there is no bias.
- Further developing strategic partnerships with carefully selected organisations who can support us achieving our EDI commitments, including that of gender equality.
- We will continue to develop our broader EDI approach, building on our policy objectives and the actions outlined in the July EDI Board report which include the promotion of greater gender equality.
Matthew Bailes
Chief Executive Officer
For and on behalf of Paradigm Housing Group Limited.