Another 100 years to close gender pay gap

It’s half a century since the Equal Pay Act enshrined the right to equal wages for equal work in law.
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But women continue to be at an economic disadvantage, taking home lower wages and shouldering the greater part of the care burden.

The World Economic Forum warns it could take another 100 years to close the global gender pay gap.

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We take a look at the figures on women's equality in Lancaster.

Another 100 years to close gender pay gap.Another 100 years to close gender pay gap.
Another 100 years to close gender pay gap.

Average earnings: The latest Office for National Statistics figures estimate women in Lancaster earned 34.2% less than men per hour in 2019 – higher than the UK average of 17.3%.

This is the median difference, a measure which takes the middle of a range of figures, to exclude very low or high earners.

The gender pay gap is partly attributed to the fact women are more likely to work part-time – 42% of female workers in Lancaster did so in September last year, compared to 17% of men.

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But among just those in full-time jobs, women in Lancaster still earn an average of 25% less per year than men, with women earning a median salary of £22,497 in 2019, compared to £29,977 for men.

Gender equality charity the Fawcett Society said we should not be complacent about gender pay gaps, which can be closed if employers show a willingness to make changes.

Employers should be more open about their pay gaps and let local women know what they are doing to tackle them by publishing action plans," it said.

The pensions gap: The pay gap follows women into their retirement, with experts highlighting how a penalty for working part-time is "short-changing" women.

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Department for Work and Pensions figures show men in Lancaster collected an average of £26.23 more than women every week from their State Pension during August last year.

The average male pensioner took home £169.25 per week compared to £143.02 for females – meaning women receive 15% less.

Research has also highlighted a gender gap when it comes to private workplace pensions.

Thinktank the Pensions Policy Institute says women are being hit by a penalty on part-time work while they care for children or elderly relatives.

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"The result is both interrupted pension contributions and limited earning opportunities," it said.

Some poorer pensioners can apply for Pension Credit, an income-related benefit which tops up their weekly income to a minimum amount.

In Lancaster, 3,735 people were claiming Pension Credit in August, 64% of them women, reflecting a population of female retirees with lower state and private pensions.

Who cares?: The most recent localised figures on unpaid care come from the 2011 census, which asked Lancaster residents about the care they provided for disabled or sick family members or friends, excluding ordinary child care.

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Women made up 59% of the 14,400 people who said they provided at least some unpaid care.

Overall, 13% of women said they were carers compared to 9% of men.

It was a similar story across the country, with women accounting for 58% of unpaid carers, and 60% of those doing 50 hours or more of caring every week.

Gemma Rosenblatt, head of policy and campaigns at the Fawcett Society, said women’s work needed to be valued more equally.

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She said: "The impact of the pay gap is much more far-reaching than an individual's monthly pay packet.

“It leads to a lifetime of income inequality for women. And some groups of women, for example women of colour, face even larger penalties.”