2017 Gender Pay Results - Cromwell

Transcription

1 2017 Gender Pay Results - Cromwell

2 Steve Brocklebank Group Director - Human Resources Introduction For the first time, The Gender Pay Reporting legislation requires employers with 250 or more team members in the UK to publish statutory calculations every year. These calculations show the pay gap between male and female team members at a snapshot date in April each year. Gender Pay is different to Equal Pay as it does not compare people in the same or broadly similar roles but looks at the differences in average pay (both mean and median) between men and women - no matter what their role is. In the UK the Office of National Statistics reports a gender pay gap of 18.1% for all businesses. About Cromwell Cromwell is a leading distributor of industrial products, specialising in MRO (Maintenance, Repair and Operations) and industrial goods. We help UK businesses large and small keep their operations running and people safe. We have a central Head Office and Distribution Centre in Leicester and a number of branches and centres throughout the UK. Cromwell has been in business over 40 years and was privately owned by its founder until 2015, when it was acquired Grainger, a Fortune 500 company based in the U.S. Our Pay Gap Cromwell has a gender pay gap of 11.9%, well below the national average (1) and below the industry average (2). In the main this gap has arisen because of the gender mix in our quartiles. We recognise that while we apply rewards and recognition consistently across all team members, most of our senior leaders are male. Cromwell has typically seen a higher ratio of male to female within its workforce (currently 72:28%). This has occurred as a number of our divisions are focused on servicing industrial engineering and manufacturing markets or within logistics and warehouse operations all of which have traditionally had a strong male presence. We recognise that there is further work to improve diversity within Cromwell and our diversity journey has already begun. In the last 18 months alone Cromwell has placed more females into senior key positions than previously. We are continuing to review our reward practices and where possible will offer flexible work practises and family friendly benefits which enable team members to fit work around family responsibilities. We also intend to raise awareness for people leaders and team members in becoming more inclusive and promoting the benefits of diversity. Its our aim to continue making Cromwell a great place to work and in doing so ensure that both women and men have equal access to the same recognition, reward and career progression opportunities.

3 Our Results Our Pay Gap Results Mean pay gap 11.9% Median pay gap 7.4% National average pay gap % Our Bonus Gap Results Mean bonus gap 32.2% Median bonus gap 19.6% Proportion of men and women who receive a bonus Our Results Cromwell has a smaller pay gap than the national average of 18.1% (1) and that of the Wholesale and Retail Trade gap of 19% (2). Women make up 28% of Cromwell s workforce and have the highest presence in the lower middle pay quartile in Sales, Operational and Administration roles. The upper quartile has the lowest percentage of women in comparison to the rest of the pay quartiles. The Senior Leadership Team is 100% male and of the 50 highest paid roles within the business, only 16% of these are women. Gender pay is impacted by flexible arrangements with 68% of our part time population being female and a higher take up by females of salary sacrifice schemes such as Holiday Buy and Childcare Vouchers. Lower Quartile Lower Middle Quartile Upper Middle Quartile Upper Quartile 84% of Women receive a bonus 92% of Men receive a bonus

4 Making A Difference We are already making progress on our inclusion and diversity journey so we attract, develop and retain male and female colleagues with multiple perspectives, age, ethnicity and race at all levels of the organization. For example our analysis shows that of the 10 highest paid women within the business 70% have joined in the past 18 months. To help us on this journey we will continue to progress in the following ways: Continually review and assess our reward offering which includes flexibility for time off through holiday buy and carry over Develop our recruitment processes to provide a more balanced and diverse list of candidates As of April 2018 we will adopt National Living Wage for all team members regardless of age (excluding apprentices) Introduce a series of educational programmes to help our people leaders and team members become more inclusive and harness diversity

5 Appendix Calculation Definitions Mean - A mean average involves adding up all of the numbers and dividing the result by how many numbers were in the list. Median - A median average involves listing all of the numbers in numerical order. If there is an odd number of results, the median average is the middle number. If there is an even number of results, the median will be the mean of the two central numbers. References 1. Office of National Statistics PWC Women in Work Index, Closing the Pay Gap, February 2017, Page 4. Wholesale and retail trade gap 19% These figures do not include Merlin, which is a subsidiary of Cromwell.