Ethnicity pay gap

NCHA has made a commitment to reduce the ethnicity pay gap amongst its workforce.

The data below comes from the snapshot date 5 April 2025. When calculating the ethnicity pay gap, we have followed the guidance provided for the gender pay gap calculations, using the difference between the average hourly earnings of White British colleagues and colleagues from other ethnic groups.

Figures

The mean ethnicity pay gap is 18.7%
The median ethnicity pay gap is 18.8%
The mean ethnicity bonus gap is -1.2%
The median ethnicity bonus gap is -0.8%
The proportion of White British colleagues at NCHA receiving a bonus is 31% and the proportion of colleagues from ethnic minority backgrounds receiving a bonus is 31%.

Pay quartiles by ethnicity

46% of people in the lower pay quartile are from ethnic minorities, 54% are White British
39% of people in the lower middle pay quartile were from ethnic minorities, 61% are White British
19% of people in the upper middle pay quartile are from ethnic minorities, 81% are White British
15% of people in the upper pay quartile are from ethnic minorities, 85% are White British.

View ethnicity pay gap data for NCHA [PDF], which has been calculated using the methodologies set out in the Ethnicity pay reporting: guidance for employers.

Summary

The mean and median ethnicity pay gaps have decreased compared to last year.
The proportion of colleagues from minority ethnic backgrounds has increased in the upper middle quartile compared to last year.
Bonus payments include: long service awards, refer a friend recruitment incentives and colleague recognition awards, as well as a bonus payment from Nottinghamshire County Council for care workers.
NCHA’s ethnicity pay gap is high and we are committed to doing everything that we can to reduce the gap.
The biggest pay gaps exist where there is a higher proportion of colleagues in the lower two quartiles and relatively much smaller proportion in the upper two quartiles.
There are negative pay gaps, but not both mean and median negative pay gaps for any one ethnicity.

Why we have an ethnicity pay gap

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

The lack of ethnically diverse colleagues in higher pay grades. For example, on the date of the snapshot, representation of ethnic minorities in senior leadership was 0% and in management positions, representation was 13%. This is compared with 27% of the workforce being from ethnic minority backgrounds.
In terms of ethnicity, there is overrepresentation in our lower quartile pay bands of people who are not White British.
This picture is replicated across the UK economy, as people from ethnically diverse backgrounds are less likely to hold senior roles and more likely to be in front-line roles.
Occupational segregation. The divide between occupations is a factor for the gap. Most of our ethnic minority colleagues are on the Care and Support Project pay scale (67%) and very few are on our direct maintenance services pay scale (3%) at the snapshot date.
Given the diversity of our organisation and the fact that NCHA reflects a number of UK occupational segregation issues it is unlikely that we will eliminate the ethnicity pay gap entirely and reducing it further will take many years.
We are making a concerted effort to increase representation of ethnically diverse colleagues in manager roles and have strategies and targets in place to do so. For example, we have committed to increasing the percentage of our ethnically diverse managers to 14% by 2027.

The ethnicity pay gap is different to equal pay

Equal pay deals with the pay differences between people who carry out the same jobs, similar jobs or work of equal value. It is unlawful to pay people unequally because of their ethnicity. The ethnicity pay gap shows the difference in the average pay between those who are White British and those who belong to a minority ethnic group in all jobs in the 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 job evaluation scheme to grade roles and determine pay.

Addressing the ethnicity pay gap

NCHA is committed to doing everything that we can to reduce the ethnicity pay gap. Reducing the pay gap is not a quick fix and it will be several years before we expect to see improvement.

We will, over the next two years, continue to:

Increase the representation in higher paid positions including managerial roles with initiatives like the Rooney Rule which is extended for all ethnic minority colleagues who meet the criteria on shortlists for people managers roles and above and embed the use of diverse recruitment interview panels (where feasible).
Ensure that ethnically diverse colleagues are proportionately represented in development opportunities specifically our leadership development including NCHA’s Future Aspiring Leaders program and apprenticeship programmes.
Deliver and evaluate the impact of the Diverse Heritage Development Programme which offers learning and mentoring opportunities.
Increase the number of colleagues from ethnic minority backgrounds in Property Services through targeted apprenticeships and recruitment campaigns.
Use anonymised applicant data to reduce unconscious bias in recruitment.
Monitor workforce data to understand the impact of our recruitment processes on appointments to people manager roles in relation to ethnicity and in addition analyse data around leavers to identify and address any unknown barriers.

And in addition, we will:

Continue to work with the Diverse Heritage Colleague Forum and Diversity Champion colleague networks to better support the organisation and the EDI Strategy. Foster inclusion and improve sense of belonging through colleague consultation and collaboration.
Benefits – Remind colleagues of the family friendly benefits that are available to them including making sure we support those that currently have or plan on taking on a caring role/responsibility if they want to. Supporting colleagues through all life stages in integrating and balancing work and family responsibilities
Continue to promote Peer Support Groups, including Menopause and Neurodiversity. Aim to attract, support and retain women, mainly those in their late 40s and early 50s who are generally affected by the menopause and at the peak of their career in terms of experience and therefore potentially eligible for senior management roles.

We will continue working with colleagues, trade unions, the EDI Panel and relevant colleague forums to achieve these goals.