What is driving our numbers?
It's not unequal pay that's driving our gap. We review the pay of all employees annually, and frequently evaluate our pay policies to ensure we offer equal pay for equal work, regardless of gender.
Our gender pay and bonus gap is driven by:
- More men than women in higher-salaried senior roles despite there being more females across the business in three out of the four quartiles, and
- More women than men in part time roles (which impacts the bonus gap as the figures are calculated on actual amounts paid, not the full time equivalent amounts).
How do the figures compare to last year?
Overall, our gender pay gap has slightly evolved with:
- A 4% increase in the median pay gap from 3% in 2019 to 7% in 2020. Our overall mean pay gap remains unchanged.
- A 4% increase on the median bonus gap, from 18% in 2019 to 22% in 2020 and a 5% increase on the mean bonus gap from 38% in 2019 to 43% in 2020.
Whilst there has been no change to the mean pay gap in 2020, there has been an increase in the median pay gap. This increase is a result of the proportional growth of women in the bottom two quartiles and a reduction of women in the upper mid quartile, shifting the mid-point for male and female pay. Encouragingly, there has been an increase in female representation in the upper pay quartile.
We recognise that reducing our gender pay gap is a long-term goal and we expect some volatility in the numbers year on year. While both men and women are encouraged to take advantage of flexible working opportunities, more women than men currently take up this option, impacting the gender pay gap.
The bonus gap has increased in 2020, at a similar level as seen with the median pay gap, which is representative of the change to distribution across the pay quartiles.
The mean bonus gap has been impacted by an increase to bonus pay for the highest male earners. As a result of vesting dates, performance shares have significantly increased bonus levels in the reference period for 2020, compared to 2019 and four out of five of these recipients were male.
For AXA - Global Healthcare diversity and inclusion continue to be as important as ever, with a focus not only on gender but also on ethnicity, disability and sexual orientation inclusion, with an aim to build stronger foundations for change across our whole workforce. We continue to support employee resource groups and programmes aimed at promoting diversity and inclusion. We will continue to offer a range of flexible working options, across all levels and all roles and ensure fairness in recruitment processes and continue to identify, develop and review our talent pipelines, to ensure that women are fairly represented and are in a good place to achieve more senior roles in the workplace.
I can confirm that our data is accurate and has been calculated according to the requirements of the Equality Act 2010 (Gender Pay Gap Information) Regulations 2017.
Chief Financial Officer
AXA - Global Healthcare