Gender pay gap

NCHA is committed to the principle of equal opportunities and equal treatment for all colleagues, regardless of sex, race, religion or belief, age, marriage or civil partnership, pregnancy/maternity, sexual orientation, gender reassignment or disability. As such we use a gender neutral job evaluation scheme to grade roles and determine pay.

We are required by law to publish an annual gender pay gap report. The figures below come from our most recent snapshot, which was taken at 5 April 2020.

Facts and figures

  • The mean gender pay gap is 16.24%
  • The median gender pay gap is 21.4%
  • The mean gender bonus gap is -10.1%
  • The median gender bonus gap is 0%
  • The proportion of male colleagues in NCHA receiving a bonus is 14% and the proportion of female colleagues receiving a bonus is 14%.

Pay quartiles

  • 27% of people in the lower pay quartile are men, and 73% are women
  • 27% of people in the lower middle pay quartile are men, and 73% are women
  • 38% of people in the upper middle pay quartile are men, and 62% are women
  • 47% of people in the upper pay quartile are men, and 53% are women.

These figures have been calculated using the methodologies used in the Equality Act 2010 (Gender Pay Gap Information) Regulations 2017.

Summary

The gender pay gap results have pretty remained static this year following a decrease in the last two years:

  • A deeper dive into the data tells us that that the gender pay gap has increased in the upper two quartiles since last year, which is why we have not managed to reduce the mean average percentage gap this year.
  • Despite the increases in gaps in the upper two quartiles, we have maintained and not increased the overall pay gap.
  • Other good news is that this calendar year we have increased the number of men working in care by 2% and women in maintenance services by 3.2%.
  • Bonus payments include long service awards, refer a friend recruitment incentives and VIP awards. Again this year the mean average bonus gender pay gap was negative, meaning that women received more bonus payments than men.

Why we have a gender pay gap

Most of the issues that contribute to NCHA's gender pay gap are reflected in the UK economy and are not unique to NCHA:

  • Women are under-represented in more senior roles at NCHA. Our workforce is made up of 65% women. However, while women occupy 60.5% of managerial roles, they represent only 53% of those in the highest paid quartile and make up only 33% of the executive and senior manager groups (at the snapshot date).
  • Occupational segregation, which remains what we consider to be the main reason for our GPG results. Women are over-represented in lower paid care roles in NCHA (Care and Support has approximately 73% women vs 27% men at the snapshot date). This is reflected in the fact that women are over-represented in the lowest quartiles (quartiles one and two). If there were an even distribution of women across our pay quartiles, then we’d expect to see 8% fewer women in quartile one. Conversely, men are over-represented in higher paid roles, for example building and maintenance.
  • More women than men are part time. We know from previous years that the number of jobs performed on a part time or zero hour basis is much higher in the lower quartile (around 63%) compared to the upper quartile (16%). It is possible that the low number of jobs being done on a part time basis in the upper quartile might be impacting on women who want to work part time.
  • Current pay arrangements: a review of the data by quartiles shows that our pay gaps are not just a female representation issue. We don’t have any pay gap in the lower quartiles. The gaps start in the upper quartile, with the biggest gaps being in the upper quartile.

The gender pay gap is different to equal pay

Equal pay deals with the pay differences between men and women who carry out the same jobs, similar jobs or work of equal value. It is unlawful to pay people unequally because they are a man or a woman. The gender pay gap shows the difference in the average pay between all men and women in a workforce.

NCHA is committed to the principle of equal opportunities and equal treatment for all colleagues, regardless of sex, race, religion or belief, age, marriage or civil partnership, pregnancy/maternity, sexual orientation, gender reassignment or disability. As such, we use a gender-neutral job evaluation scheme to grade roles and determine pay.

Our gender pay gap is the result of the roles in which men and women work within the organisation and the salaries that these roles attract.

Across the UK economy, men are more likely than women to be in senior roles (especially very senior roles at the top of organisations), while women are more likely than men to be in front-line roles at the lower end of an organisation. Women are also more likely than men to have had breaks from work that have affected their career progression, for example to bring up children. Women are also more likely to work part time, and part time work is often concentrated at lower ends of the pay spectrum.

This pattern from the UK economy as a whole is reflected in the make-up of NCHA's workforce, where the majority of front-line colleagues are women, while the majority of line manager and senior manager roles are held by men.

Paul Moat, Chief Executive. (1)

NCHA is committed to doing everything that we can to reduce the gender pay gap. Reducing the gap is not a quick fix and it will be several years before we make further inroads into the improvement we have made to date.

Paul Moat, Chief Executive

Addressing the gender pay gap

We will, over the next two years (from April 2021 onwards):

  • Continue to increase the representation of women (and BAME colleagues) in higher paid positions including managerial through use of initiatives like the Rooney Rule and diverse panels
  • Target an increase in women in managerial roles for our environmental, social and governance link within our new loan agreement with NatWest
  • Increase the number of men working in care and support and women in maintenance services through apprenticeships
  • Continue to use anonymised applicant data to reduce unconscious bias in recruitment
  • Continue to monitor workforce data to understand the impact of our recruitment processes on appointments to people manager roles in relation to gender (and ethnicity)
  • Review and simplify our pay and terms and conditions arrangements (started and will continue into coming year)
  • Work with colleagues and trade unions to achieve this.