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Gender Pay Gap Reporting 2024

In a significant move towards gender equality, the Gender Pay Gap Information Act 2021 in Ireland is undergoing a pivotal change set to take effect on January 1st, 2024. This legislation, a part of the National Strategy for Women and Girls 2017-2020, aims to rectify the imbalance in average earnings between men and women. For Irish employers, particularly those with 150 or more employees, these changes bring new responsibilities and opportunities for fostering diversity and inclusion.

Key Changes

The most notable change in the legislation is the reduction of the employee threshold from 250 to 150, broadening the scope of reporting to include more businesses. This means that starting in 2024, all Irish employers with 150 or more employees will be mandated to report on the pay differences between female and male employees.

Reporting Requirements

Under the Gender Pay Gap Information Act, employers will need to provide detailed data on their workforce, including:

The mean and median gap in hourly pay between men and women.
The mean and median gap in bonus pay between men and women.
The mean and median gap in hourly pay of part-time male and female employees.
The percentage of men and women who received bonus pay.
The percentage of men and women who received benefits in kinds.

Explanations and Measures

In addition to reporting the pay gaps, employers are required to offer explanations for any disparities and outline the measures being taken to address them. This transparent approach is expected to not only satisfy legislative requirements but also contribute to the improvement of diversity and inclusion strategies in Irish-based companies.

Timeline

The reporting process began in 2022 for employers with 250 or more employees. The threshold will be lowered to 150 employees or more within two years, and further reduced to include employers with 50 or more employees the following year.

Conclusion

As the Irish business landscape adapts to these changes, employers should seize the opportunity to foster a fair and inclusive work environment. Embracing transparency in gender pay gap reporting not only ensures compliance with the law but also positions businesses as champions of equality. The shift in the reporting threshold signifies a collective effort towards a more equitable future for all employees.