The German Equal Pay Day Campaign

Size: px
Start display at page:

Download "The German Equal Pay Day Campaign"

Transcription

1 The German Equal Pay Day Campaign Henrike von Platen, CEO / Founder Fair Pay Innovation Lab 19 September 2017 Liberec, Czech Republic

2 The gender pay gap in the European Union Quelle: Eurostat, 2017

3 The gender pay gap in Germany The unadjusted pay gap is 21% => wage gap caused by different access opportunities of both gender groups on certain fields of activity or performance groups For the statistically adjusted gender pay gap, these structural differences are eliminated. The adjusted pay gap is at 6%

4 Development of the gender pay gap across the life cycle When the first child is born into a family, the wages of women and men drift drastically apart. Source: STATMagazin 03/2013, p. 2

5 From the gender pay gap to the gender pension gap Starting Point in Careers In Germany women generally receive 44 % less individual pension than men. Gender Pay Gap 21 % Pension Gap 44 % Source: DIW, 2016

6 The gender pay gap its main causes 1. Women are still absent in particular jobs and sectors and are missing on company boards and in leading positions 2. Far more women than men take parental leave for longer periods 3. Equal Pay is not achieved in individual and collective wage negotiations because of undervaluation of women s work women s inferior negotiation positions women often negotiate a package of wage and flexible work 4. Gender stereotypes still influence our thinking and behaviour

7 Wage levels What determines the wage level? Education Expertise Job experience Region (urban or rural areas) Economic sector Negotiation about wage and working conditions Who decides on the wage level? 1. Trade unions and employer associations >> Collective wage calculation 2. Employees: Negotiate an individual employment contract >> Individual wage calculation

8 Example: Wage differences Women Men Wage Gap Banker 3,433 4,145 17,2% Architect 3,052 3,479 12,3% Consultant 3,897 4,568 14,7% Nurse 2,471 2,744 10,0% Social Worker 2,936 3,354 12,5% Janitor 2,185 2,303 5,2%

9 The Equal Pay Day in Germany

10 History of the Equal Pay Day Initiated by BPW/USA in 1988 as the Red Purse Campaign 2008 Brought to Europe by BPW Germany with the first Equal Pay Day Equal Pay Day expanded throughout Europe in 2009/ International Awareness campaign by BPW International launched in New York at CSW 2010 EU organizes first European Equal Pay Day on April 15

11 What is the Equal Pay Day? The day shows the period women work for free, whereas men already start to earn their wages on January 1, of a given year The Equal Pay Day is calculated on the basis of the gender pay gap (in Germany 21%) >> 21% of 365 days are 77 days << Next Equal Pay Day in Germany on March 18, 2018

12 Business and Professional Women Germany Women s organisation representing 30,000 worldwide in 100 countries International Federation of Business and Professional Women was founded in 1930 in Geneva by Dr Lena Madesin Phillips BPW International has consultative status at the ECOSOC/United Nations BPW Germany: around 1,500 member in around 40 cities across Germany

13 Goals of the Equal Pay Day campaign Media Putting equal pay on the agenda Enhance public debate Politics Putting equal pay on the agenda Trigger change in policies Companies Raise awareness on equal pay Equal pay as strategic advantage

14 From awareness-raising to action Forum Calling attention to specific reasons of the pay gap Informing on the main theme Mobilising Activate multipliers to participate Supporting multipliers in events, etc. Equal Pay Day Putting the yearly theme on the agenda Wide range of actors calling for change

15 Bringing actors together Political parties Civil society organizations Equal Opportunity Officers Employers and entrepreneurs Equal pay for equal work and work of equal value Women s Confederations and Economic associations

16 Priority theme The causes of the gender pay gap are complex and manifold. To structure the debate, the campaign follows a yearly theme: Themes include: transparency, valuation of work, stereotypes or wage determination Development of data and facts Identification of relevant fields of action Presentation of suitable solutions Sharing examples of best practices

17 Equal Pay Day across Europe Equal Pay Day activities in around 20 European countries and over 30 cities Activities also in Japan, Australia, USA, Canada, Argentina, Brazil,

18 Regulations and Initiatives in Germany

19 Women on Company Boards Cracks in the glass ceiling, but women still lag behind Increase from 21.7 % (2015) to 28.1 % (2017) women in company boards 6.5 per cent women in executive board positions Policy measures: Introducing a quota of 30 per cent women on boards Empty chair in case of non-compliance Introduction in 2015 lead to increase of number of women on boards Monitoring trends to ensure transparency Strong engagement of civil society: Berlin Declaration

20 Transparency Regulation Enforcing wage transparency Right to disclosure for employees (companies with more than 200 employees) Voluntary equal pay auditing (companies with more than 500 employees) Reporting on equal opportunity measures (companies with more than 500 employees)

21 Verifying equal remuneration Logib-D / Equal Pace Measuring the in-company wage gap Internationally applied tool EG-Check Considering equal value of work Evaluating pay schemes with regard to pay equity Monitor Wage Transparency Assessing both wage gap and pay equity Compliance with latest transparency regulations

22 Parental leave and allowances Parental Leave Parental leave for 12 months 2 additional months when the partner takes leave > now, 1/3 of fathers take paternal leave Parental Allowance Compensating for income when a parent stops or reduces working Min. 300, max. 1,800, 60 % of monthly net income; max. payment of 14 Parental Allowance Plus Supporting parents who work part-time soon after the birth of a child One month of parental allowance becomes two months of parental allowance plus Child Care Entitlement to day care for children from age one Funding allocation for day care expansion investment programme to 1 bil.

23 Re-entering the labour market Project Perspective Comeback to Re-integrate women in the labour market smoothly Decrease time of absence Providing access to vocational training Finding strategies to reconcile family and career options Central goal: close cooperation with employers and Federal Labour Office

24 What can be done to close the gap? Let s talk about money! Question gender stereotypes Create an open and transparent company culture Equally share care responsibilities and employment Improve reconciliation of careers and care STEM professions Support women in and men in care Move women into leadership positions to name only a few options

25 Thank you!