UK start-ups’ gender pay gap worse than national average in 1992

The pay gap between genders at UK start-ups is more than double the national average and is said to be worse than it was in 1992, according to data from the Salary Benchmarking Platform Figures, which looked at the median wages of workers at over 317 different UK tech businesses with a range of 10-200 employees.

In UK start-ups, women are paid 70p for every £1 men earn and the situation isn’t much better throughout Europe.

In Germany women are paid 77p for every £1 men earn in start-ups and in France its 84p for every £1. These gaps show major differences in the national average in each country.

The company wide pay gap doesn’t necessarily mean they purposely pay women less, as this is illegal, but it does point out a lack of women in higher paid roles, the data showed that a shocking 34% of tech start-up boards still include no women, proving just how difficult it is for women to rise to the top, as well as a lack of action from start-up leaders on promoting female workers. 

Accountability is another key reason the gender pay gap is so wide. During an interview with Grace Lordan, associate professor at the London School of Economics and director of its research centre the Inclusion Initiative, Grace told Sifted “start-ups have lower levels of governance than public companies and can use size as an excuse to explain anomalies, but mandatory gender pay gap reporting could help change things”.

Companies with more than 250 employees have been required by law to submit their gender pay gap figures since 2017, and although the current statistics are still alarming, there have been improvements made.

For the full article, please click below: startups’ gender pay gap worse than national average in 1992 | Sifted

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