What is equal pay?
Equal pay means that men and women in the same employment performing equal work must receive equal pay, as set out in the Equality Act 2010. It’s the law, and if you’re an employer you must observe it. This applies not only to salary, but to all contractual terms and conditions of employment, such as holiday entitlement, bonuses, pay and reward schemes, pension payments and other benefits.
As with any law, you need to know all the details and how they affect you. These pages will help you find the answers you need, and suggest other useful sources of information to help you verify, implement and maintain equal pay in your organisation.
Equal pay explained
Although the law on equal pay may seem complicated, its purpose is simple – to ensure that women and men doing equal work receive equal pay (and other contractual terms and conditions of employment) for it. As an employer, not complying with your legal obligations on equal pay leaves you open to the risk of an equal pay claim.
What is equal work?
Equal pay hinges on the concept of ‘equal work’. The Equality Act 2010 says that when men and women are doing equal work they have the right to receive equal pay. Job titles should not be used to judge whether the work of one job is equal to another.
Are you at risk?
Although it’s not possible to know whether your organisation’s pay system is compliant with equal pay legislation without undertaking an equal pay audit, there may be some indicative signs that suggest you are at risk.
Last updated: 06 Aug 2018