Lack of knowledge is holding back equal pay for women, says Acas

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Lack of knowledge is holding back equal pay for women, says Acas

Acas has found that low levels of understanding by both employers and employees is, alongside the cost, one of the principal factors holding back equal pay.

Evidence from Acas advisers on the ground confirmed that lack of information about equal pay legislation was second only to the financial implications as a reason for failure to take action on implementing equal pay.

Rita Donaghy, Acas chair, said: "Less than 1% of calls to our helpline are about equal pay and those demonstrate a lot of misunderstanding of what it involves. There needs to be more funding for a push to raise awareness of the issues. Acas has 50 specially trained people who can help companies carry out equal pay reviews but not enough organisations and employees realise how equal pay claims work -- the law is about sex discrimination, not about creating a fair pay system. Often company pay schemes are not transparent and so women do not realise they are being discriminated against."

She added: "The other main reason companies do not take action is the cost. The law at present says that where a company carries out an equal pay review and identifies any discriminatory pay levels the difference in pay must be put right immediately. For smaller companies in particular this can put an unbearable strain on the company's finances. If the law were to be changed to allow organisations to phase in equal pay over a period of time many employers may be more willing to look at equal pay issues, knowing they had time to sort out the company's finances. There would, however, need to be a clear timetable for implementation."

Want to know more?

The findings were based on the practical experience of Acas advisers about organisational issues and were presented to the Women and Work Commission. Acas evidence to the Women and Work Commission is available for download at www.acas.org.uk/strategy/policy_consultationResponses.html

Acas aims to improve organisations and working life through better employment relations. It provides up-to-date information, independent advice, high-quality training and it works with employers and employees to solve problems and improve performance. For more details visit www.acas.org.uk

Posted 4 March 2005