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News 29 March 2018

Gender pay gap report

The Forward Trust releases its gender pay gap report

The Mandatory Gender Pay Gap Reporting proposes that organisations should, for the first mandatory report, capture data as a snapshot on 5th April 2017 and then publish their findings no later than 4th April 2018. This cycle will then continue year on year going forward with organisations being required to maintain the data on their websites for three years in order to show progress made. The data is also uploaded to a Government portal making us accountable for the accurate reporting of this data.

The Equality and Human Rights Commission defines the difference between equal pay and the gender pay gap as follows:

1. 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.

2. The gender pay gap is a measure of the difference between men’s and women’s average earnings across an organisation or the labour market. It is expressed as a percentage of men’s earnings.

The Forward Trust

Our hourly-rate mean pay gap is 7.37% and our median is 5.25% which is significantly better than the national average.

According to the ONS, the gap between what UK male and female workers earn – based on median hourly earnings for full-time workers – fell to 9.1% in April last year, from 9.4% a year earlier. It was 17.4% in 1997 when the ONS first collected the data.

The mean gender pay gap is 14.1% and has been stuck at the same level for three years. When all workers, full and part-time, are included, the gap increases to 18.4% for median earnings and 17.4% for mean earnings. Part-time workers are included in the reporting of the gender pay gap – so this is the national equivalent figure.

(Source: The Guardian)

Forward remunerates its employees via a pay banding system, ensuring fairness in our levels of pay with the flexibility to recognise relevant skills and experience within a pay band. These bands are reviewed regularly against market competitors to ensure that we remain a competitive employer. We believe that this system allows us to better ensure gender pay equality across the organisation.

As part of the mandatory reporting process, employers are required to publish the gender pay gap within their bonuses. Whilst Forward did not pay bonuses it does reward staff for their work through the annual appraisal process. The mean difference was -27.8% with the median being -50%. The minus figure indicates a variance in favour of women, this difference is mainly due to a larger proportion of female employees within the organisation.

Summary figures

  • Women’s hourly rate is 7% lower (mean) and 5% lower (median).
  • Top salary quartile has 37% men and 63% women
  • Upper middle salary quartile has 26% men and 74% women
  • Lower middle salary quartile has 24% men and 76% women
  • Lower salary quartile has 25% men and 75% women
  • Women’s bonus pay is 28% higher (mean) and 50% higher (median)
  • 43% of men and 41% of women received bonus pay

Forward remains committed to ensuring that we treat all staff fairly. Whilst the figures released in our 2017 snapshot are a sign that we are ahead of most companies, we still want to further work to ensure pay equality across the organisation.