Businesses have criticised Tory proposals for closing the gender pay gap as an inappropriate response that will tie employers up in more red tape.
Shadow leader of the House of Commons, Theresa May, unveiled the Conservatives’ plans to tackle the gender gap in a speech yesterday, where she announced that women earn on average 17% less than men, with the figure rising to 38% for part-time workers.
The party has suggested a raft of new measures, including compulsory pay audits for employers found guilty of discrimination on the grounds of unequal pay, to help redress the balance.
The Tories are also calling for an extension of the right to request flexible working, already given to parents with children under six, to those with children under 18, and new measures to help women up the career ladder.
And finally, the party called for existing laws allowing companies to pay women less than men in certain situations, to be tightened, justifying the case for more regulation by the fact that the gender gap increased last year.
However, the British Chambers of Commerce (BCC) argued that workplace inequality would not be achieved through yet more regulation and that UK businesses’ competitiveness may be hindered.
BCC director general, David Frost, said: “Employers realise now more than ever that recruiting and retaining good people – irrespective of gender – is absolutely critical for competitiveness, but this won’t be helped by tying business into more restrictive regulation.
“There is already a legal framework in place to regulate equal pay and it is doubtful whether simply adding to it through compulsory pay audits will help to narrow the gap.”
© Crimson Business Ltd. 2007