The equal pay crisis needs a new solution or it will become unmanageable 

Unless there is radical change, the tribunal system may come crashing down. Hundreds of thousands of women trying to get justice may be made to wait for an intolerably long time unless there is a fundamental change in approach.

There are currently an estimated 50,000 equal pay cases being brought by underpaid local council workers. The Commission estimates the numbers will rise threefold to 150,000 this year, causing the already painfully slow employment tribunal system to seize up ‘like a blocked drain’.

Hundreds of thousands of women, many of whom have been waiting more than a decade for equal pay, could face even longer delays before getting what they are rightfully owed.

To provide a genuine long-term solution, the Commission is calling for a radical change to the law. It is proposing the introduction of representative actions, where hundreds of cases could be heard at the same time.

This would unclog the tribunal system and could reduce the number of cases by more than 90 per cent - from as many as 150,000 down to a more manageable figure of 11,000.

As another part of its strategic approach to ending the quagmire of equal pay in local government, the Commission today announced that it will not be directly funding the equal pay cases of up to 800 women involved in the four year-old tribunal case of Redcar and Cleveland Borough Council v Bainbridge and others, which is due to be heard tomorrow by the Court of Appeal. Instead, the Commission will take a different role in the case. The Commission will make a statement to the court, which it believes will help set a legal precedent that will deliver equal pay for the women involved in a far quicker timeframe.

The Commission is concerned that a ruling by the court in this case on the controversial question of transitional arrangements – the extent to which employers can protect men's pay for a limited period while they put in place measures to bring women up to the same level – could take away the freedom that would allow unions, employers and employees to negotiate sensible, workable solutions.

Trevor Phillips said that whenever possible, the hundreds of thousands of equal pay cases needed to be pulled out of the lengthy legal process and solved by such negotiated agreements.

He said:

'These women deserve justice now, not justice in another decade. They are the care workers who look after your mum, the dinner ladies who look after your children. Every single one of us would suffer if they didn’t put in the hours.

'There’s no point in us throwing petrol on this legal forest fire by supporting even more individual cases going through the tribunal system. Instead we need to come up with some radical solutions.

'I wish I could wave a magic wand and sort this crisis out, but it’s far from simple. The Equal Pay Act has reached its sell-by date. It's time for new legislation, fit for this century, to help sort out this age old problem.

'As a first step, it makes sense to cut through the legal nightmare of the tribunal system through the introduction of representative actions.

'These women have been underpaid for too long; they’re not interested in yet more legal paperwork and shenanigans. They deserve the money in their pockets.'

For more information contact the Equality and Human Rights Commission Media Office on 02031170251 / 02031170242, out of hours 07767272818. 

Ends

> Read Trevor Phillip's article Present day Jarndyce from The Guardian, 15 January 2008.

Notes to editors

1. As part of its legal strategy to tackle equal pay, the Commission will tomorrow seek to intervene in the precedent-setting case of Redcar and Cleveland Borough Council v Bainbridge and others, which is being heard at the Court of Appeal from 15 January.
2. The case will resolve the contested and unclear issue of so-called ‘transitional arrangements’: the extent to which employers can protect men's pay while they try to put their houses in order. The case is likely to have serious implications for the hundreds of local councils and thousands of women involved in equal pay claims.
3. In a submission to the court, the Commission intends to argue that an employer may lawfully introduce temporary arrangements which protect the pay of existing employees, most often men in these circumstances, even if those arrangements prolong inequality for a limited time, provided the employer's aim is to eliminate unequal pay as soon as possible and the method chosen disadvantages women as little, and for as short a period, as possible.

The Equality and Human Rights Commission

The Equality and Human Rights Commission is a statutory body established under the Equality Act 2006, which took over the responsibilities of the Commission for Racial Equality, Disability Rights Commission and Equal Opportunities Commission.

The Equality and Human Rights Commission is the independent advocate for equality and human rights in Britain. It aims to reduce inequality, eliminate discrimination, strengthen good relations between people, and promote and protect human rights.

The Equality and Human Rights Commission enforces equality legislation on age, disability, gender, race, religion or belief, sexual orientation or transgender status, and encourages compliance with the Human Rights Act. It also gives advice and guidance to businesses, the voluntary and public sectors, and to individuals.