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Petitions to Parliament · 2019 to 2024 Parliament (archived)

Introduce Mandatory Ethnicity Pay Gap Reporting

130,567 people signed this petition to the UK Parliament after it opened on 5 March 2020; it closed on 5 September 2020. The Government responded on 30 July 2020. MPs debated it in Westminster Hall on 20 September 2021.

Signatures
130,567
final count
Government response
30 July 2020
Cabinet Office
Debated
20 September 2021
Westminster Hall

The petition

The petition's creator is not named in the Petitions site's published record. Quoted in full from the UK Parliament petitions site.

Introduce Mandatory Ethnicity Pay Gap Reporting

Much like the existing mandatory requirement for employers with 250 or more employees must publish their gender pay gap. We call upon the government to introduce the ethnicity pay gap reporting. To shine a light on race / ethnicity based inequality in the workplace so that they can be addressed.

Currently there is a lack of data available in gauging the ethnicity pay gap in the workplace. Introducing these measures will allow employers to be held accountable in closing the gap where there is disparity. In order to achieve a fairer workplace publishing this data is one of the next steps to knowing how extensive the issues are from a race and ethnicity perspective and not just through the lens of gender.

The Government's response

The Government published its response on 30 July 2020; the petitions site lists the Cabinet Office as responsible. Its summary:

The Government ran a consultation from October 2018 to January 2019 on the introduction of mandatory Ethnicity Pay Reporting. We are currently analysing these and will respond by the end of the year.

The opening 354 words of the 556-word response:

Building a fairer economy means ensuring the UK’s organisations reflect the nation’s diversity – from factory floor to boardroom. We are committed to working closely with the business community to consider the steps that can be taken to build more inclusive workplaces, including reporting on diversity.

The Race Disparity Unit’s Ethnicity Facts and Figures website already publishes data collected by government about the different experiences of the UK’s ethnic groups at a national level. In 2018/19, the Government consulted on options for going further, exploring possibilities for employer-level ethnicity pay reporting.

Following the consultation, Government met with businesses and representative organisations to understand the barriers to reporting and explore what information could be published to allow for meaningful action to be taken. It is essential that any reporting is reliable and robust, and that is why last year we also ran a voluntary methodology testing exercise with a broad range of businesses to better understand the complexities outlined in the consultation using real payroll data.

This work highlighted the genuine difficulties in designing a methodology that produces accurate figures that allows for interpretation and action from employers, employees and the wider public. Issues highlighted include:

• Collecting data on ethnicity/burden on businesses - a survey of 80 organisations by PwC found that concerns around the legality of collecting ethnicity data, poor response rates from employees and ensuring employee anonymity were among the most common barriers to publishing ethnicity pay data. The survey found three-quarters of organisations lack the data needed to analyse their ethnicity pay gap, while 40% had not collected data because of concerns around GDPR and other legal restrictions.

• Reporting on a binary basis – one way to mitigate low employee declaration rates is to combine all individuals from an ethnic minority background into a single group for reporting purposes. However, this approach masks the significant variations in labour market outcomes between groups. In 2018, for example, employees of Chinese, Indian and Mixed or Multiple ethnicity all had higher median hourly pay than White British employees, while employees in the Pakistani and Bangladeshi ethnic groups had the lowest median hourly pay.

Read the full response on the petitions site.

Where the signatures came from

Signatures came from 650 constituencies on the boundaries used until the 2024 general election. The largest number, 1,317, came from Lewisham, Deptford.

129,644 of the signatures were from the UK and 923 from elsewhere, by the location signers gave.

Ten constituencies with the most signatures (2010 Westminster constituencies (used until the 2024 general election)).
ConstituencySignatures
Lewisham, Deptford1,317
Camberwell and Peckham1,211
Hackney North and Stoke Newington1,161
Hackney South and Shoreditch1,135
Vauxhall1,094
Streatham1,048
Dulwich and West Norwood1,026
Bermondsey and Old Southwark1,023
Islington North960
Bristol West942
Signatures by region and nation, as published by the Petitions site.
RegionSignatures
London42,463
South East17,807
East of England10,878
North West9,977
South West9,005
Scotland8,600
West Midlands7,153
Yorkshire and The Humber6,862
East Midlands6,314
Wales3,229
North East2,587
Northern Ireland1,151

Debate in Parliament

MPs debated the petition in Westminster Hall on 20 September 2021. Read the debate in Hansard. House of Commons Library debate pack.

Source and receipt

The petition's words are its creator's and the response is the Government's; this site quotes both and gives no view on either. Signature counts can still change while a petition is open. To report an error, send a correction request.