Gender Pay Gap Report 2017

Transcription

1 Gender Pay Gap Report 2017

2 Barclays commitment to building a diverse and inclusive culture It has been my experience, not just as a business leader but also in my life beyond work, that equality and diversity sit at the heart of success. Organisations which reflect the diversity of all their stakeholders will forge the strongest bonds and earn the greatest respect. At Barclays, we celebrate and value difference and are committed to building an inclusive culture where everyone can be themselves and do their best work. I confirm that the information contained in this report is accurate. Fostering the right culture at Barclays is critical to our success. Promoting respect, diversity and performance in the workplace is central to our ambition to become the most accessible, inclusive and sought after employer, where colleagues feel engaged and empowered to achieve their best in order to deliver the best results for our customers and clients. We are confident that at Barclays, men and women across our organisation are paid equally for doing the same job. However, as our UK gender pay gap data shows, we still have more work to do to create further career opportunities so that women can continue to progress in financial services. Although female representation is growing at Barclays, we still have high proportions of women in more junior, lower paid roles and high proportions of men in senior, highly paid roles. There has been improvement across financial services but progress has been slow within the industry, so we support the objectives and intent of the UK government in introducing gender pay gap reporting to drive equality in both the workplace and in society more widely. Gender pay gap reporting brings further focus to Barclays long-standing commitment to improving gender diversity a commitment that is, and will remain, at the core of our talent management and leadership succession processes. Through a range of extensive internal and external initiatives and programmes that drive the necessary cultural change, we continue to build a workplace environment that supports and empowers women to succeed. These initiatives include senior leadership gender diversity targets, creating new career opportunities, ensuring there is no bias in our talent management and leadership development processes, progressive policies, and strategic external partnerships to support societal change. We are making good progress towards cultural change. Our 2017 employee opinion survey, Your View, tells us that 91% of colleagues believe that leaders support diversity in the workplace. However, we recognise that addressing the gender pay gap will take time and we acknowledge that there is still a lot of work to do to improve the gender balance across Barclays, particularly amongst the senior leadership population. Our determination and commitment to building a diverse and inclusive workforce through attracting, retaining and developing world-class professionals is paramount. We are working hard to foster an environment in which all employees have the opportunity to succeed, regardless of race, religion or belief, age, gender, disability, sexual orientation, gender identity/expression or nationality. Jes Staley CEO Barclays PLC 2 Gender Pay Gap Report 2017

3 Understanding the gender pay gap Gender pay gap legislation was introduced in the UK to encourage employers to make greater progress in addressing the imbalance of earnings between men and women over the span of their careers. The gender pay gap reporting requirements came into effect on 6 April 2017 as an amendment to the Equality Act 2010, requiring employers of over 250 employees to publish prescribed statistics relating to UK employee pay, for publication before 5 April 2018 (and annually thereafter). Gender pay gap reporting is part of the UK Government s strategy to reduce the gender pay gap in a generation. What is the gender pay gap? The gender pay gap measures the difference between the average male pay and the average female pay as a proportion of the average male pay. For example, average male pay of 100 per hour and average female pay of 85 per hour would indicate a gender pay gap of 15%. Equal Pay legislation in the UK relates to an employee s role, making it unlawful for an employer to pay individuals differently for performing the same or similar work, or work of equal value. Paying our employees fairly and equitably relative to their role, skills, experience and performance is central to our global reward philosophy. We review our global reward structures on an ongoing basis to ensure that there is no unfair gender or other bias in how colleagues are paid. The gender pay gap therefore reflects the distribution and relative proportions of men and women across an organisation. It does not take into consideration the role that the employee performs or the seniority of the employee. The examples below illustrate how gender pay gaps can occur, despite men and women being paid equally for the same or similar roles. In Example 1, there are more men than women in role A earning 100 per hour, and there are more women than men in role B, which is lower paid. As a result, there is a gender pay gap of 48.8%. In Example 2, although there is an equal number of men and women in role A earning 100 per hour, there are more women than men in role B earning 30 per hour. As a result, there is a gender pay gap of 32.3%. Example 1. Greater proportion of men in highly paid roles, more women than men in lower paid roles Example 2. Equal number of men and women in highly paid roles, more women than men in lower paid roles Role A 100 Equal pay Role A 100 Equal pay All roles paid equally All roles paid equally Role B 30 Gender pay gap Role B 30 Gender pay gap Average % Average % Average hourly male pay: (4 x 100) + (1 x 30) = = 86 Average hourly female pay: (1 x 100) + (4 x 30) = = 44 Gender pay gap (expressed as a percentage of male pay): (( 86 44) 86) x 100 = 48.8% Average hourly male pay: (1 x 100) + (1 x 30) = = 65 Average hourly female pay: (1 x 100) + (4 x 30) = = 44 Gender pay gap (expressed as a percentage of male pay): (( 65 44) 65) x 100 = 32.3% 3 Gender Pay Gap Report 2017

4 Barclays gender pay gap results In alignment with reporting requirements, Barclays gender pay gap statistics, at 5 April 2017, are shown for each of our employing entities in the UK that have at least 250 employees: Barclays Bank UK PLC (Barclays UK), Barclays Bank PLC (Barclays International) and Barclays Services Limited (Group Service Company). Ordinary pay gap 5 April 2017) Barclays UK Barclays International Group Service Company Median Mean Median Mean Median Mean 14.2% 26.0% 43.5% 48.0% 29.9% 25.8% The mean pay gap shown is the difference between the average hourly pay of men and women. The median pay gap is the difference between the midpoints in the ranges of hourly pay of men and women. Our three main UK employing entities, for which gender pay gaps are being reported, do not employ equal numbers of colleagues. The chart below shows the proportion of our reportable UK colleagues working in each employing entity. Group Service Company (34%) Barclays International (15%) Reportable UK headcount (as at 5 April 2017) Barclays UK (51%) Bonus pay gap (for year to 5 April 2017) Barclays UK Barclays International Group Service Company Median Mean Median Mean Median Mean 46.9% 60.1% 73.3% 78.7% 24.0% 48.8% The mean bonus gap shown is the difference between the average bonus paid to men and women. The median bonus gap is the difference between the midpoints in the ranges of bonuses paid to men and women. Proportion of colleagues who received bonus pay during the year to 5 April 2017 We have broken down our reportable UK pay), from lowest to highest, and then divided this into four equal sub-populations (upper quartile, upper middle quartile, lower middle quartile and lower quartile) to show how the distribution of men and women varies according to each quartile, and by our main UK employing entities. Female Male Female Male Female Male 95.2% 93.1% 93.4% 93.7% 92.5% 91.2% Q4 Q3 Q2 Q1 Gender Proportions in Ordinary Pay Quartiles (Fixed Pay) Barclays UK Barclays International Group Service Company 45% 66% 67% 73% 55% 34% 33% 27% 19% 31% 51% 63% 81% 69% 49% 37% 29% 36% 50% 58% 71% 64% 50% 42% Female Male Female Male Female Male 4 Gender Pay Gap Report 2017

5 Why does Barclays have a gender pay gap? As gender pay gaps are based on averages taken across the whole of an organisation, they do not take in to account factors such as job type or different levels of seniority. We have reviewed our gender pay gap numbers carefully and the pay gaps that are visible in each of our UK entities result from the distribution of men and women between corporate grades across Barclays are paid equally for doing the same job. We know that our gender pay gaps are driven by two main factors: i. the higher proportion of men in more senior (higher paid) roles; and ii. the higher proportion of women in more junior (lower paid) roles. These demographics of our population are illustrated in the chart shown to the right, which combines our corporate grade structure into senior management, middle management and junior staff. Reportable UK headcount Women Men particularly prevalent in Barclays International, which includes our investment banking business. In Barclays International the proportion of senior staff is higher than typically observed in our other businesses and functions. This, together with the pay levels and higher bonus practice observed for these senior revenue generators, do to continue accelerating the progression of women into these more senior roles. One of the positive aspects of our culture is that we around their other responsibilities. This is particularly prevalent in Barclays UK, where we have a higher proportion of women working in our branch network, many of whom have alternative work arrangements such as part-time hours and job sharing. Although our bonuses negatively impact the bonus pay gap, as their the fact that they are not full time. Senior management Middle management Junior staff Gender Pay Gap Report 2017

6 How we are addressing the gender pay gap at Barclays Across our organisation, and within dedicated to ensuring that women We recognise that tackling the gender pay gap will take time, and we have established a number of internal and external gender equality commitments. To achieve our goals, and thereby narrow our gender pay gap, we will continue to focus on ensuring there is no bias in the hiring, promotion, development and retention of women at Barclays. As a founding signatory of the HM Treasury Women in Finance Charter and supporter of the Hampton- Alexander Review, to support our commitment to gender equality, we proactively set gender targets and we have made good progress towards these Alongside these targets, Barclays has been focused on, and will continue to develop, a range of initiatives, programmes and policies to improve gender diversity, increase female representation at Barclays and enable These include: 1 2 Creating new career opportunities to attract and retain diverse talent Building a pipeline of female leaders through talent management and leadership development 3 Driving cultural change 4 Supporting wider societal issues through external strategic partnerships Barclays gender diversity targets Female representation on the Board of Directors % % Female representation among the Group Executive Committee and their direct reports % % Female representation among Directors and Managing Directors % % 6 Gender Pay Gap Report 2017

7 How we are addressing the gender pay gap at Barclays 1 Creating new career opportunities We have expanded our graduate and apprenticeship programmes to reflect our commitment to improving employment opportunities and attracting diverse talent. We have transformed the way we recruit for our graduate programmes to drive diversity and inclusion. Students are able to demonstrate ability and potential throughout the process, so that recruitment outcomes are based on capability and performance and not on the basis of subjects studied, universities attended and previous work experience. In doing so, we hope to increase the number of female graduate hires to 50% (40% at the end of 2017). We continue to build a pipeline of next-generation leaders and highlight female talent through our Women in Technology group that encourages women to take up technology careers in banking and finance, providing networking and mentoring opportunities. For those looking to re-enter the workforce after taking time out of their careers, our Encore! Return-to-Work programme provides opportunities for experienced professionals to join a paid programme with a view to securing a permanent role at Barclays at the end of the programme. Our internal mobility programme Apply within provides colleagues with multiple tools and resources to find new internal career opportunities. By making it simple and easy for colleagues to move internally, we hope to successfully retain and develop internal talent. More broadly, we have policies and practices in place to ensure that all recruitment decisions are fair and candidate shortlists are diverse. 2 Talent management and leadership development The creation of ex-officio positions on the Group Executive Committee and across the business unit and functional Executive Committees by the Group CEO has provided development opportunities for a number of our high potential female leaders, and broadened the scope of the perspectives and decision-making across our leadership teams. Successful events that we run each year such as the global Women in Leadership conference and the Enterprise Leaders Summit focus on building capability and upskilling leaders. Our Women on Boards programme assists senior women who aspire to take on a Non-Executive Director role and we run a global Director to Managing Director promotion sponsorship programme for high potential female leaders. We regularly review succession plans to ensure that we have a diverse internal pipeline to the Group Executive Committee, and business unit and functional Executive Committees. Our existing pipeline of female talent is being further strengthened through the launch of a global gender taskforce, comprising of leaders from across the organisation who believe passionately in gender diversity and who will focus on new and improved initiatives to further accelerate our progress against our gender diversity commitments. 7 Gender Pay Gap Report 2017

8 How we are addressing the gender pay gap at Barclays 3 Cultural change Providing a workplace that encourages colleagues to achieve their personal and professional goals is key to supporting and retaining our employees. We aim to do this through our progressive maternity, paternity, adoption and shared parental leave policies which go beyond the statutory requirements. Our Unconscious Bias training, now attended by over 10,000 leaders, supports the continued elimination of bias from our people processes. Our flexible working initiative Dynamic Working supports colleagues in all stages of their lives in achieving an optimal work and life balance, helping them with parenthood, studies, caring and hobbies. Across Barclays, Win, our gender network, provides colleagues with career development and networking opportunities including mentoring, career fairs and senior leader speaker events. 4 Strategic partnerships Barclays recognises that gender equality extends to the communities in which we work, support and live, and greater gender equality is integral to our long-term investments to drive societal change. We demonstrate this through strategic partnerships, external engagement and leadership commitment. Barclays is a proud partner and founding member of the United Nations HeForShe campaign, which is engaging both men and women in gender equality and driving the financial empowerment of women in the world more broadly. Supporting HeForShe as a Corporate IMPACT champion enables us to leverage our global footprint to enhance awareness of gender equality and support female-focused charities and financial inclusion programmes. In partnership with the UK government-backed Women s Business Council, we aim to maximise women s contributions to economic growth by helping to drive legislative changes, raise awareness and promote best practice across industries. Barclays was named one of The Times Top 50 Employers for Women in 2017 for the seventh consecutive year, in recognition of our leadership on workplace gender equality. 8 Gender Pay Gap Report 2017

9 Working dynamically without compromising your career Charlotte Haggard Director I am a Director in Finance Change with a team of 10 project managers and business analysts. I work four days a week and I m paid for four days, but when things are very busy on a project I work five days to get the work done and then take the time off in the school holidays. So, Barclays benefits from me working extra days when things are really tough, and then I benefit by taking guilt-free days off at half term. Working from home is standard across my team. It s typical for colleagues to have a day working from home a week. Whether you re doing it because you ve got something happening at home or whether it s for the uninterrupted concentration, working from home is productive and very good for writing reports. And it makes a more engaged and satisfied team. Working dynamically allows me to work on very interesting projects. I ve got a lot of responsibility, so I m not compromising my career by working four days a week. Dynamic Working means I don t need to compromise my career. My work-life balance is just how I want it to be. To learn more about our commitments to greater gender equality, visit: home.barclays/diversity HM Treasury Women in Finance Charter Hampton-Alexander Review Registered office: 1 Churchill Place, London E14 5HP Barclays Bank PLC 2018 Registered in England. Registered No: Gender Pay Gap Report 2017