Female managers in the UK earn 22% less, shows survey

The gender pay gap among managerial employees in the UK stands at 22%, according to a new survey published by the Chartered Management Institute (CMI).

The survey of 72,000 managers, published in association with XpertHR, found that the average full-time salary for men in managerial roles is now £39,136, compared to £30,612 for women. The gap has narrowed slightly since the last time the survey was compiled in 2014, when it stood at 23%.

CMI points out that the pay gap means women are effectively working for free for one hour and 40 minutes every day.

Among director-level staff, the average salary is £138,699 for men and £123,756 for women, a slightly narrower gap of 11%.

The survey also shows that the pay gap becomes significantly wider with age. Women aged 26–35 are paid just 6% less than their male peers, but this rises to 35% among women aged 46–60.

Ann Francke, chief executive of CMI, commented that: “Working for free two hours a day is unacceptable.” Referring to the UK government target of 25% female boards of directors by the end of 2015, she added: “Having more women in senior executive roles will pave the way for others and ensure they’re paid the same as their male colleagues at every stage of their careers.”

From 2016, new legislation will require larger UK businesses to publish details of the gender pay gap among their employees.

Solomon Polachek has written for IZA World of Labor about ways to reduce the gender gap in developed countries. He advocates policies which increase women’s lifetime work, such as eliminating marriage taxes and promoting greater take-up of daycare.

Read more on this story at the Guardian. The results of the CMI/XpertHR survey can be found here.

Related articles:
Equal pay legislation and the gender wage gap by Solomon W. Polachek 
Gender quotas on boards of directors by Nina Smith