August 17, 2017

UK ethnicity pay gap means equally qualified black workers earn less than white colleagues

UK ethnicity pay gap means equally qualified black workers earn less than white colleagues

Black workers in the UK do not get paid as much as their similarly qualified white peers, a Trade Union Congress (TUC) report has this week revealed.

The figures show that for those educated to A-level, black employees earn around £1.20 an hour less on average than those who are white—equivalent to a 10% pay gap.

The analysis also suggests that the race pay gap increases with qualifications, meaning that black workers with degrees face an even higher gap of 14%—about £2.63 less an hour. The biggest gap is reported for those with higher education certificates and diplomas, where it stands at around 20%, or £2.98 less per hour.

Regardless of qualification, British black workers are paid 8.3% less than white workers, costing them around £1.15 an hour.

Frances O’Grady, the TUC general secretary, said: “Students get their A-level results this week. The harsh reality is that race will still play a huge role in how much they get paid.”

“It’s time for the Government to require employers to publish pay data broken down by ethnicity. Then we can see where the problems are and put pressure on bosses to close the pay gap.”

In her article Racial wage differentials in developed countries, Simonetta Longhi argues that "Reducing racial wage differentials and promoting equal opportunities among citizens with different racial backgrounds are important social policy goals. The skills and talents of racial minorities may be under-utilized if they are prevented from reaching their potential and contributing fully to society. Ultimately, reducing racial wage inequalities is likely to lead to a more cohesive, productive, and egalitarian society."

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