Gender Pay Report. Integro Insurance Brokers

Transcription

1 Gender Pay Report 2017 Integro Insurance Brokers

2 INTRODUCTION At Integro, we are committed to fostering an inclusive work environment where everyone is able to reach their true potential. We want to ensure that our culture is open, collaborative and respectful. In turn, we believe that this creates a stimulating and creative working environment, which will drive growth. Carrying out the gender pay gap analysis and understanding the reasons behind the statistics has been an important exercise for us. We are conscious that our pay gap is predominantly driven by the fact that there are more men than women in senior roles, which is common across the insurance broker sector and the financial services industry. This is where a significant imbalance lies, and it requires attention at the earliest stages of recruitment such that we are able to attract more women to insurance roles. Integro views this as an opportunity to improve and will be proactive in addressing the gender pay gap and doing its part to bring more balance to the insurance broker sector. We know that we have more to do to create opportunities for women to progress and to encourage more women to join or re-enter the insurance broking industry. We are firmly committed to achieving a more balanced workforce. Reducing our gender pay gap will take continuing focus and commitment over the coming years. Our aim is to ensure that women are better represented within Integro and that they are supported. The Regulations The Equality Act 2010 (Gender Pay Gap Information) Regulations 2017 (the Regulations ) aim to tackle the gender pay gap in organisations and provide transparency around gender pay gap differences in the workplace. Under the new guidelines, the UK government is asking all employers with more than 250 employees to report their gender pay gap. This is the difference between the average amount that women and men are paid across the whole workforce. The gender pay gap is a broad measure of gender equality in the workplace. The gender pay gap can have many causes, such as low representation of women at senior levels or in certain roles. The calculation behind the gender pay gap is not the same as equal pay. Equal pay relates to men and women being paid differently for like work or work of equal value. Equal pay for equal work has been required under UK law since the 1970s. We remain committed to ensuring equal pay throughout Integro and we are confident that our gender pay gap is not an equal pay issue. Gender is not a factor in the way that we pay our people. We pay women and men in the same way, using the same compensation criteria, including their performance and the nature of their role. Integro Insurance Brokers 2

3 METHODOLOGY Under the Regulations we are required to report data at the snapshot date of 5 April 2017 (pay) and in the 12-month reference period to 5 April 2017 (bonus) for each employing entity where we have more than 250 people. For us, this means one entity, Integro Insurance Brokers Ltd. The mean gender pay gap is the difference in average hourly pay between male and female members of staff. The median gender pay gap is the difference in hourly pay between the middle-earning male and female members of staff when they are ranked in order. Also shown is the mean and median difference between bonuses paid to men and women. The pay quartiles show the distribution of men and women when they are ranked in order of hourly pay (upper quartile = top 25% of earners). The proportion of female and male employees receiving a bonus includes all employees eligible to receive a bonus as at 5 April. The numbers Gender Pay Gap Median Mean 53.90% 74.96% The table above shows our overall median (middle figure) and mean (or average) gender pay gap, based on hourly rates of pay as of the snapshot date of 5 April There are a number of things which influence our gender pay gap: a higher proportion of men in our senior production roles and in certain parts of our business which attract higher market value; and a higher proportion of women than men in our more junior roles We know that the unequal distribution of men and women is the main driver for our gender pay gap. While this is typical of many financial services companies across the UK, we are committed to addressing this. Integro Insurance Brokers 3

4 PAY QUARTILES Per the Regulations, we have organised our gender distribution by the quartile pie charts, below. Figures have been organised by splitting Integro employees into four quartiles. The charts below illustrate the proportion of women and men in each of the four pay quartiles. Lower Quartile Lower Middle Quartile Women 62.31% Men 37.69% Women 56.15% Men 43.85% Upper Middle Quartile Upper Quartile Women 38.76% Men 61.24% Women 14.62% Men 85.38% Gender pay gaps are based on averages taken across the entirety of an organisation. As such, they do not reflect important factors such as job type or different levels of seniority. Female representation is positive in both the lower quartile and lower middle quartile within the business. It is the upper quartiles where representation of women shows an imbalance. The charts above demonstrate that Integro has a higher proportion of women in lower quartile roles and a higher proportion of men in upper quartile roles. We realise that the imbalance exists and we are committed to increasing representation in these bands. Integro is not alone in the insurance industry as a company that has difficulty recruiting women to the more senior level positions. Fewer women than men start their careers in the insurance industry and as such, where fewer women join the industry, fewer go on to progress through the ranks. Unfortunately, the direct result of this is that the talent pool for senior female employees in the insurance broker sector is relatively small. Integro Insurance Brokers 4

5 GENDER BONUS GAP All permanent employees in active employment as at 30 June 2016, irrespective of their position, age, gender or ethnicity, were eligible to be considered for a bonus. Our analysis shows that a greater proportion of women (82.48%) than men (79.12%) received a bonus. Percentage of employees receiving a bonus Male Female 79.12% 82.48% Discretionary bonuses are paid relative to company and individual performance on an annual basis. Our figures demonstrate the success and achievements of our employees in 2016 and the fact that we offer an opportunity for all our employees to earn a bonus. The bonus gap calculation is based on all bonus payments paid between 6 April 2016 and 5 April Bonus Median Mean 76% 84.95% Our Analysis Our mean and median bonus gaps are higher than our gender pay gaps. The structure of our workforce is also influencing our bonus gaps. The gap is affected by: our senior level roles or specific parts of our business have larger performance related bonus opportunities, and these roles are mainly held by men; and the way the Regulations sets out bonus pay gap calculations. The Regulations do not take into account the fact that we pro-rate bonuses for our employees who work reduced hours, the majority of whom are female. Integro Insurance Brokers 5

6 ACTIONS The gender pay gap is a complex issue with a variety of overlapping causes, and so it is unlikely to be successfully tackled by one initiative or activity. Our gender pay gap is not the result of a systemic equal pay issue. We have carried out analysis to better understand the causes of our pay gap and inform the actions we take to address it. Achieving a better gender balance at all levels (and therefore improving our gender pay gap) is a priority for our organisation. We recognise that we can do more to support and engender diversity and inclusion. Integro is committed to ensuring that all roles in our business are accessible to those with the skills and experience who wish to work with us, regardless of gender. We will continue to take steps to encourage our employees to reach the highest level to which they aspire. We believe it is important for us to focus on taking meaningful action to drive equality and inclusivity in practice. Below is a summary of some of the short-term and long-term initiatives we will endeavour to put in place. During the next 12 months we will focus on the following areas: Recruitment processes: We are committed to making careers at Integro and the insurance industry more appealing to women and to challenge the current state of affairs in which fewer women than men view insurance as a great place to build strong and progressive careers. One of our key focus areas is to obtain better representation at senior levels and this will be reflected in our approach to recruiting. One of the things we will do to address this is to give specific instructions to recruitment consultants to provide us with gender balanced shortlists for new hires. Similarly, we will ensure that when recruiting, we assess a broad range of capabilities including leadership behaviours, motivations and cognitive skills in our hiring processes. We are looking to provide our managers and those making hiring decisions with better skills and awareness of how unconscious biases may impact our decision making. Job Postings: In order to create more transparency around job opportunities, we will look to post job openings internally so that we are able to give current team members the opportunity to apply for more senior-level roles before we undertake an external search. We believe that this approach, combined with some of our long-term actions, can be a powerful tool in helping women advance. Training: At Integro, we believe that culture and behaviours are critical. We will be taking steps and introducing initiatives to develop a more inclusive organisation one in which each employee can flourish and of which we can all be proud to be a part. This will involve raising consciousness about diversity, equity and inclusion. Ensuring that all employees understand what is expected and that leaders have tools to ensure an inclusive culture. Integro Insurance Brokers 6

7 Our longer term focus will include the following areas: Succession Planning: It will take time to build a robust succession planning process. We know that developing internal talent, especially with respect to our female employees, will be beneficial to helping us address the gender pay gap. Succession planning will also provide us with better insights into how to develop a wider range of talent within the organisation and for taking gender, as well as other factors into consideration when succession planning for key roles. We will also aim to make career development and promotion processes more transparent and encourage more open and honest dialogue between our employees and managers to help our employees develop their skills and careers. Mentoring: We know that support and guidance from senior leaders is key to helping our talent grow and develop their careers, and we intend to formalize a modern approach to mentoring in Creating a Women s Network: One way we can support and develop women at Integro is to ensure that they are able to network and discuss issues that are unique to women in the workforce. As such, we intend to create an Integro women s network to provide women with a forum for discussion and development. Workplace Flexibility Programs: As part of our holistic view of supporting women in the workplace, we will continue to progress our family friendly policies to ensure that we remain aligned to the everchanging needs of our employees. Currently, Integro offers women on maternity leave pay which is in excess of the statutory requirements. In addition, we plan to review other opportunities to offer flexible work arrangements and will continue to focus on retaining (and supporting) our employees returning from maternity, paternity and shared parental leave. One of the positive aspects of Integro s culture is that we encourage our employees to find a positive work-life balance. We hope that these policies will enable more women to pursue their career at Integro while also having time for responsibilities outside of the workplace. As a result of the proactive measures we plan to put in place, we expect that more female employees will, over time, progress into senior leadership roles, thus narrowing the gender pay gap. We know this is not a straightforward task, and it will not happen overnight, but we are committed to keep pushing for change and championing this at all levels in our business. On behalf of the Directors of Integro Insurance Brokers Ltd., I confirm that the data in this report is accurate and has been calculated according to the requirements of the Equality Act 2010 (Gender Pay Gap Information) Regulations Adam Cockburn Director Integro Insurance Brokers Ltd. Integro Insurance Brokers 7