techUK welcomes the opportunity to submit to the ethnicity pay gap reporting consultation and has answered questions in Chapter 1,2,4 which are most relevant to its role as a trade body. techUK also welcomes the Government’s efforts to promote greater diversity whether through support for initiatives such as the Tech Talent Charter to help measure diversity or gender pay gap reporting.
Ethnicity pay gap reporting could be another tool to help increase diversity. Shedding a light on disparities where they exist is the first step to understanding the problem and raising awareness of an issue. However, tech companies know how important good data is in driving decisions and encouraging change and there are some real challenges that will need to be addressed to ensure that ethnicity pay gap reporting leads to the generation of good, accurate and actionable data.
There is clear merit in encouraging companies to collect data on representation of ethnic minorities in their business, particularly around issues of seniority and in comparison to local and national population demographics. This would give employers a better understanding of what their workforce looks like and whether they are reaching out to and benefiting from the diverse talent pool in their local communities and beyond. Moreover, our members are committed to increasing diversity and creating databases that could help businesses plot their progress would undoubtedly help drive progression. Finally, many of our members – leaders in technology – have a good story to tell about the diversity of their workforce, a mechanism to report would help employers tell this story thereby encouraging more diverse candidates to apply; techUK is however concerned about the number of cumulative burdens being placed on businesses in terms of data collection and reporting; therefore, it is absolutely right that the Government take a considered approach to find a methodology that strikes the right balance between the collection of valuable data that is useful and the burden placed on business.
Read the full submission via the link below and if you would like to discuss further please get in touch with Vinous Ali or India Lucas.