Gender Pay Gap Reporting - Six step guide

From 2024, gender pay gap reporting will be extended to all employers in Ireland with 150 or more employees. Meeting these reporting obligations will likely present a significant challenge to many companies. Organisations will need to act now to ensure they are ready to meet the December reporting deadlines.

1. Assemble your team

   Gender pay gap reporting will require collaboration from a range of stakeholders across the business including HR, Legal and Compliance, Finance, IT and Communications. Be sure to engage your stakeholders early on as to the input required and to agree deadlines.

2. Ensure data collection systems are in place

   Data collection and consolidation presented a significant challenge to in-scope employers in 2022. Having systems in place to support data collection will minimise the work required by teams and also reduce the chances of human error in the process. Double check that these systems are in place and that they are set up to provide all relevant data with regards to specific reporting periods.

3. Understand the detail

   It is critical that teams conducting analysis understand the details of the reporting guidelines, as there are a range of areas which could cause confusion. For example, how an employee’s contract type affects how their remuneration should be reported. Teams need to be clear on the legal definitions of pay elements and what falls in scope. Furthermore, the approach taken should be well-documented as calculations will need to be run annually.

4. Do a dry run

   The deadline for publishing gender pay gap reports falls six months after the chosen June snapshot date. It is highly recommended however, that companies do a dry run of the report in advance of this deadline. In addition to helping to tease out any issues with the data collection and analysis phases of the reporting, a dry run can also help by giving an indication of the results – and if the story is a positive or negative one.

5. Examine the results

   Be sure to interrogate your data and the results. Where a pay gap is identified, ensure that sufficient time and resources are allocated to understanding the causes of the disparity, how to explain these causes and, most importantly, the steps which will be taken to address them. Keep in mind that the report will be publicly available.

   Gender pay gaps are notoriously difficult to eliminate. Rectifying them is not just about paying women more, but also involves understanding where women are under or overrepresented in the workplace, understanding why this is the case and taking action to create a more balanced workplace.

6. Build an Action Plan

   The work doesn’t stop once the report is published. Firms also need to think about a communications plan around their report once it has been published. Reporting requirements run annually so companies will need to think about what steps can be taken to reduce any pay gap and show improvement in next year’s report.

For more information on gender pay gap reporting and how Cafico International can be of assistance, please contact Henry Barrett or Niamh Manning.