Female bosses earn three quarters of the average salary of their male counterparts, official figures show.
The National Management Salary Survey, published annually by the CMI and employment lawyers XpertHR, revealed the average pay gap between men and women aged 46 – 60 is £16,680 a year. Among company directors, men take home £21,084 more than women.
This comes 40 years after the Equal Pay Act outlawed less favourable pay and conditions in the workplace.
Ann Francke, chief executive of the Chartered Management Institute (CMI), said:
“This is all about apathy and ignorance. Companies think it is not a problem for them, so they don’t do anything about it. Every company needs to conduct its own survey. It is pretty obvious a lot of the FTSE 350 are [paying their women managers less than men] for the data to turn out like this. There are very few good guys.”
The pay gap between male and female managers of all ages stands at £9,069, the CMI study found.
Tesco, which publishes data on its gender pay gap, and the law firm Linklater, which reveals the percentages of women it employs at different levels, were found to be rare examples of organisations attempting to address the problem.
The CMI said:
“This means women are earning only three-quarters (77%) of what men in full-time comparable jobs earn.
“Yet the gap is far worse for women aged 40-plus, where the problem is twofold. Not only does the salary gap increase with age and seniority, but there is also a persistent “bonus pay gap”. The average bonus for a female director stands at £41,956, while for male directors the average payout is £53,010.”
Nicky Morgan, the minister for women and equalities, said that although the pay gap remains too high, it is narrowing. In 2012, 20% of SMEs were either run solely or mostly by women, this figure continues to rise.
Photo by Paul VanDerWerf