Legislation Requirements

Transcription

1 We are pleased to be a part of the Gender Pay Gap Legislation which came into force on 6 April 2017 to address the difference in average pay across genders. This legislation is designed to encourage large organisations with more than 250 employees to act on the gender pay gap, which is an ongoing UKwide issue. This newly implemented regulation affects more than 9,000 UK employers across all sectors who must report these figures onto the government website by 4 April 2018 and on an annual basis moving forward. FIS is committed to ensuring we not only meet this regulatory requirement, but are also dedicated to driving change. Legislation Requirements To provide you with an overview of the requirements and data we must provide as a company, the key points are summarised below: This is not an analysis of equal pay between roles and gender, but an overall indication of the average pay difference between men and women. We must only report on legal entities with over 250 employees within FIS. The legal entity we are reporting on is FIS Payments (UK) Limited. Only employees with a contract of employment are included in the reporting, not contractors or agency workers. This provides percentage figures on pay and bonus data, specifically mean and median calculations. All pay data is based on hourly rates. This provides percentage figures on the number of men and women who receive a bonus. This evenly distributes the percentage of men and women who are highest paid to the lowest paid, based on the hourly pay rate. Pay calculations taken from employees who were active on the snapshot date of 5 April Bonus calculations taken from the relevant period between 6 April April 2017 for active employees as of 5 April Inclusion and diversity (I&D) is critical to the success of FIS and our clients. When we work together and value our diversity, we drive better outcomes for our company and the clients we serve. DENISE WILLIAMS, FIS CHIEF PEOPLE OFFICER

2 Gender pay gap legislation 2 The gender pay gap data we have provided to the government is below regarding FIS Payments (UK) Limited. To provide some context to the data analysed, we are predominantly made up of the following functions within this legal entity: Sales Customer Services Call Centre IT Analysts The below data can also be viewed on the government website, Gender Pay Gap Data Mean Pay Median Pay Mean Bonus Pay Median Bonus Pay 34.2% 40.3% 66.1% 40.4% 26.4% of men who received a bonus in relevant period 21.4% women who received a bonus in relevant period % of men and women in quartile pay band Upper 20% 80% Upper Middle 22.7% 77.3% Lower Middle 52.3% 47.7% Lower 66.7% 33.3%

3 Gender pay gap legislation 4 Please visit the Gender Pay Gap government website for further information on this legislative requirement. As a company, we understand the importance of such legislation and have rolled out further in-depth analysis to fully understand and highlight key areas that can impact the gender pay gap. These figures alone do not represent the full story and this indepth analysis will help us to determine the key areas to address as part of this legislation. As part of the gender pay gap analysis and strategy, we are providing: Analysis breakdown Identification of key areas to review based upon the analysis As a result, the current gender distribution for the legal entity FIS Payments (UK) Limited as of the snapshot date 5 April 2017, is: 41% 59% to address areas identified Data Analysis 1 FIS Recruitment Applications Level of interest from applications for FIS UK offices during the relevant period of 6 April April 2017: *based on disclosed data 30% 70% Because of the above applications, the successful applicant ratio was: 37% 63% More importantly, this highlights the question of why there are fewer women applying for roles at FIS and what can we do as a company to disrupt this pattern? We must be mindful of the qualifications required for some of the roles within this legal entity in that they fall within the STEM space. There are more than 33 million women in the UK (*Office of National Statistics portal), and from that population, the STEM workforce only consists of *31 percent female to 69 percent male in those fields. If we look further into these figures, the university graduates within STEM subjects make up *41 percent of the total STEM workforce. This is one reason why we have fewer females applying for such technical roles, but we must be aware of the remaining roles that do not fall within the STEM space and are more customer servicefocused and sales-related within this legal entity. The below roles predominantly make up FIS Payments (UK) Limited. We have included the industry norms from the Office of National Statistics to show the percentage of women who carry out these roles. *STEM - Science, Technology, Engineering, Mathematics 37% Sales 31% 113% Programmers and Software Developers Customer Services Manager and Supervisors IT Operations Technicians IT Business Analysts, Architects, and System Designers 10% 56% Although we only received 30 percent of female applicants, of that, 37 percent were successful as part of the recruitment process. The above represents a disproportionate representation of women who are applying for roles at a financial technology company. This has a significant impact on the gender pay gap reporting data. *Gender Diversity in STEM, CEB TalentNeuron Report *The Office for National Statistics Portal Call and Contact Centre 63%

4 5 Gender pay gap legislation We institute and continually review inclusive, unbiased, and non-discriminatory recruitment practices. We educate hiring managers in engaging in fair and unbiased internal and external selection as part of the recruitment process. We provide the necessary tools to enable hiring managers to do this through our Recruitment and The People Office teams. We are deploying a new competency-based interview training module in 2018 with a specific section on unconscious bias. We have begun building a relationship with a female-only college for a talent pool for STEM roles. We review our job descriptions and postings for any biased language. We ensure our competitive benefits are promoted as part of the recruitment process. We provide focused inclusion and diversity-learning offerings internally, through our Leader Competency Curriculum, as well as externally through our vendors, CEB (now Gartner) and global EAP provider on topics such as: Practical ways to support workplace diversity and tackle stereotypes Strategies for showing a commitment to gender equality and creating inclusive, flexible cultures Ways to challenge conscious and unconscious bias Making the unconscious conscious Recognising inappropriate behaviour and acting We annually celebrate and promote International Women s Day (IWD), and as part of this year s #PressforProgress campaign, we held workshops on what individuals and the company can do to impact change, and had two guest speakers at this event. At the company s IWD event in 2017, we had our CEO, Gary Norcross (US-based) participate in a panel discussion in London We are building relationships with professional STEM organisations to target women in the industry We identify target schools to promote STEM subjects where we have employees volunteer time to teach children to code We must do more to engage with such networks to impact this national issue Data Analysis 2 Part-time vs. Fulltime Employees The workforce is made up of the below percentage comparisons in terms of part-time vs. full-time employees. Part-time vs. Full-time Gender Breakdown This will impact the overall mean pay figures and quartile banding distribution as these calculations are based on parttime salaries, not the full-time equivalent. More importantly, the key factor to address is to ensure as a company that we are enabling all employees to utilise the Flexible Working Request Policy, to see to it that it is managed appropriately within the business and that its utilisation is not a debilitator for women. This is key in ensuring retention and attraction of our highly experienced female workforce. 4% 7% 55% 34% The current Flexible Working Policy allows all employees to apply for such a request with The People Office s involvement to ensure best practice is carried out. As a company, we pride ourselves in ensuring any such requests are managed fairly and consistently across the company. Part-time Full-time We empower our managers to understand that such a policy can make a significant impact on whether we can retain and attract our female workforce. To ensure inclusion, we encourage such an uptake for the male workforce, too. However, negative perception of uptake by the male workforce also needs to be addressed and this is evident in the limited participation of males in the newly introduced Shared Parental Leave. Although this is a great legislative step forward, it is still not fully embraced across the broader society beyond our organisation. We promote flexible working across all genders and at varying levels of seniority.

5 Gender pay gap legislation 6 Data Analysis 3 Maternity Leave As part of the mean bonus pay calculations, we are mindful that 1 percent of women were on maternity leave during the relevant period so the pro-rated figures are included as part of this reporting. The key factors are to ensure we support women whilst on maternity leave and ensure they do not face obstacles in terms of opportunity within their current role or career progression when they return from maternity leave. We have analysed the uptake of childcare vouchers and can see 13 percent of the female population have utilised this benefit during the relevant period. This uptake will impact the gross salary when calculating mean and median figures, and will also impact the quartile distribution. We have a competitive Maternity Policy in place to provide financial support whilst on maternity leave, as well as a competitive Shared Parental Policy in place. We ensure managers are equipped and coached to ensure a smooth transition pre- and post-maternity leave. We provide competitive benefits around childcare vouchers and emergency childminding options. We analyse specific roles within regions. We ensure fair and consistent compensation allocation within relevant locations in line with market data is continued. Data Analysis 5 Internal Compensation Framework and Job Levels FIS has a global internal compensation framework based on external market data to ensure our pay is competitive within the market. This framework is continually reviewed on a global scale along with ongoing due diligence reviews for all employees. This framework enables the company to check job roles and current salaries, and to apply salary recommendations equally and consistently across all areas of the business to mitigate discriminatory pay practices. Analysis of this framework with the percentage of gender population within each job level is provided below: Female population job levels Management Professional Support We offer family care services to offer further support for working families. We build trust in our managers to apply fair internal recruitment practices under the guidance of The People Office. We are confident in our internal global compensation framework and the execution of pay recommendations for all employees, irrespective of being on or returning from maternity leave. 17% 36% 47% Male population job levels Executive Management Professional Support Data Analysis 4 London Weighting Salaries As part of the mean, median and pay quartile reporting, we have also analysed the ratio of females to males in terms of location. Salaries outside of London are not eligible for London weighting, which could impact the gender pay gap data. Below, salaries with London weighting amount to 2 percent within the male population only. This will significantly impact the data as salaries vary by UK location, based on market data within those highand low-cost regions. 1% 13% 60% 2 6% We have analysed the main job levels as they form the basis of all internal roles. This review has enabled us to identify key areas to address and to further explain the gender pay gap data. London vs. Outer London Gender Breakdown

6 7 Gender pay gap legislation Executive level At the executive level, there is no female presence in terms of gender distribution there is a UK-wide issue in terms of female representation at this level. Executive salaries are at higher salary ranges, which will impact the gender pay gap figures in terms of mean pay and bonus pay. Management level There is a 4 percent higher distribution within the female population at the management level, which shows our company is committed to ensuring management roles are open to all employees, and that a fair and consistent recruitment process is carried out, led by meritocracy and objectivity. We are continually striving for improvement. We employ a high calibre of internal recruiters to lead this process whilst providing the tools and coaching requirements for hiring managers to make fair and unbiased decisions. Support level At support level, there is a significantly higher proportion of females, with a 21 percent difference. This area is predominantly made up of the call centre and customer service areas with a proportion of IT support. As per The Office for National Statistics data regarding call centre and customer service data, a higher proportion of females hold such roles. We must ascertain why more females are attracted to these areas. The above also explains why we have a higher proportion of females in the lower quartile banding compared to males, along with the mean and median pay data. Bonus data will also be impacted as they are applied on an ad hoc basis and aligned to support level compensation. Participate in inclusion and diversity networking groups to discuss and innovate across all industries Provide internal training modules on: Different dimensions of culture Enhancing global diversity Professional level At the professional level, there is a 24 percent difference in gender distribution. This area makes up the largest population of the job levels with predominantly individual technical contributor roles. With recruitment application challenges in terms of a disproportionate number of women applying to STEM-specific roles, this has impacted the overall gender pay gap data as these roles have a higher remuneration when compared to support roles. Within this job level, we have employees on commission plans; however, most employees are not eligible for bonuses. Considering this is the biggest concentration of population, this will significantly impact the mean bonus data. Embracing global diversity Workplace management in diversity and inclusion Diversity on the job We are looking at engaging in the Tech Talent Charter to not only encourage transparency but also to impact gender imbalance within the technology space Ensure we have a rigorous leadership talent framework to develop, grow, and promote key internal talent Utilise talent plans and succession planning, and starting the development process early to grow our own in readiness for promotion roles Identify senior role models who women can identify with for career support, guidance, and mentoring purposes Encourage reverse mentoring to provide our leaders with additional insight and perspective from diverse talent pools Continually reviewing and adopt internal recruitment and mobility practices Conduct further and continual data analysis on gender and role types

7 Gender pay gap legislation 8 Data Analysis 6 Sales Team We are reviewing our internal business areas, so a more indepth analysis can be carried out to ensure identification of areas for improvement. Sales team gender population Data Analysis 7 Age Brackets As discussed, the gender pay gap does not show the full picture. To fully understand key actions to address, we have carried out further analysis by looking at the gender split within age brackets. We have broken down the data as follows: Millennials: Generation X: Baby Boomers: years of age years of age years of age 33% Age brackets gender population 67% % 24% Within the sales team, there is a disproportionate distribution of females, and although this is historically a male-dominated sector, as per the Office for National Statistics, females only make up 37 percent of this workforce. What can and should we be doing to impact change? The above data will also impact the bonus data as sales roles are eligible for commission. Encourage participation in sales networks to target females in the industry. Identify senior role models whom women can identify with for career support, guidance and mentoring purposes. Focus on promotions as part of career development discussion and succession planning The above provides a snapshot of the age distribution across gender and highlights key age groups that are impacted. We must be mindful of the 41 percent female and 59 percent male overall population split, however, we would hope for a more even spread in each of the age brackets, particularly within Generation X. 5% 6% 17% Further analyse specific job roles within age brackets to identify trends 29% Further analyse length of service within age brackets to identify trends Identify key drivers for these internal groups to ensure we engage and retain those groups fully As part of the onboarding process to continually monitor key drivers for new starters within age brackets

8 9 Gender pay gap legislation Our Commitment The FIS Guiding Principles At FIS, our people are our biggest asset and we will continue to strive to disrupt the gender pay gap and gender diversity. We must encourage and support women within the financial technology world whilst ensuring inclusion. We have power in numbers across all genders, together we can impact change. We Build Trust in All We Do Gender Pay Gap Strategy is at the forefront of our executives strategy Inclusion and Diversity is aligned to business goals and imperatives Senior leaders drive forward mentoring and being role models Empower our people through coaching and support to make the right decisions Inspire a Passion to Act Promote an inclusive culture through edification Embed inclusion and diversity in all people processes Champion coaching and training on unconscious gender bias Continually review and question current approaches Embody key behaviours and competencies to lead change Foster an Entrepreneurial Spirit Develop analytics to address key issues Measure success through analytics Encourage feedback and innovative ideas to tackle issues Continue to drive forward operational excellence Empower Employee Growth Support employees returning from leave Ensure we have competitive and attractive benefits in place for working families and for work life balance Ensure flexibility is encouraged for all employees Invest in our talent to grow and to lead transformation Encourage Giving Back Be at the forefront of changing perceptions across the industry and within society Shape the culture to visibly reflect our values Volunteer time to promote STEM in educational institutes at all level Collaborate both internally and externally to impact change

9 Gender pay gap legislation 10 Jihanne Elsawey, FIS People Partner Manager We need to create a culture of transparency to create change, and with this new legislation we are taking a step closer to bridging that gap. This alone will not drive forward change, we all have a long way to go in the UK, but as a company we are committed to disrupting the norm and ensuring we are doing the best we can for our people. As part of the gender pay gap reporting, we also wanted to identify and work on key trends, what is working, what will have the biggest impact and how we can continue to make this commercially viable for our business to drive transformational change within the industry and society as a whole. As a company, we must maintain operational excellence for our business to grow and as part of that growth, we must embed inclusion and diversity. Our collective differences make us smarter and drive forward the success of our company. Statement of Accuracy We confirm the data reported is accurate and aligned to the legislative requirements as part of the Gender Pay Gap Regulations, April 2017 Peter Middleton, FIS Chief Operating Officer, Payments International Being inclusive and diverse is so important in all we do at FIS and is a key element of the company strategy going forward. The gender pay gap reporting has resulted in a strong, indepth analysis of our internal data, however it has also set the agenda for some great initiatives going forward - to look at trends and take steps to make a positive impact on gender parity in With further analysis, we will endeavour to ascertain key areas to address as on-going actions and as a company, we commit to bridge gender parity in FIS and the UK.