WOMEN IN the UK have received higher salary increases than men for the tenth successive year, however, growing pay packets are failing to stem the tide of female resignations
WOMEN IN the UK have received higher salary increases than men for the tenth successive year, however, growing pay packets are failing to stem the tide of female resignations.
Research showed an average movement in earnings of 6.7 per cent for women and 5.6 per cent for men in the twelve months to January 2006. It is also the highest movement in earnings for five years.
At director level, the gap is even more pronounced with female earnings increasing by 9.2 per cent, against only 5.8 per cent for their male counterparts. Women in team leadership roles were awarded an increase of 6.6 per cent compared to 5.2 per cent for men.
In real terms, this means that female managers earned an average of £43,521 ($108,151) in the year to January 2006. But this is still £5,147 ($12,790) less than the male equivalent of £48,668 ($120,943) – an 11.8 per cent difference. The gap at director level is £40,588 ($100,864), with the average female director earning £164,762 ($409,445).
However, in organisations with a turnover of less than £25 ($62) million, women directors come out on top, earning £127,369 ($316,589) compared to £116,511 ($289,600) for men.
“More than 30 years after sex discrimination legislation was introduced, some inroads appear to have been made in the workplace,” said Jo Causon, director, marketing and corporate affairs, at the Chartered Management Institute, which conducted the research.
“However, inequalities are still evident in pay packets and promotion and unless employers address the issue, they are in danger of seeing a continuation of the trend in senior female executive resignations.”
The survey also found that bonuses are playing an increasingly important part in overall take home pay. The majority of employers (79 per cent) gave bonus payments to staff in the 12 months to January 2006, but women were more frequent recipients.
Despite larger pay awards and higher incidents of bonuses, women are more likely to resign, with female resignation rates at 5.7 per cent, compared to 4 per cent for men.
