Late preparation – pay gaps can’t be fixed overnight, they require gradual adjustments. Preparation takes longer than you think, so the sooner you start, the more you can address pay gaps gradually through annual cycles rather than reactive adjustments.
Data without insight – good data is a must, not just to measure gaps, but to analyse and justify them objectively. Remember, tangible action planning cannot take place without quality data.
Translating insights into action – many organisations are investing in deeper pay gap analysis. The next challenge is knowing what to do with the results. An effective Gender Pay Gap Action Plan is not a long list of generic initiatives. It is a targeted, evidence-based roadmap that clearly links actions to the specific drivers of your gaps, sets realistic priorities, and demonstrates accountability.
IDR uses a practical and scalable approach that aligns with how HR and Reward teams actually work, starting with high-impact diagnostics and building depth as data maturity grows.
Foundation Analysis – Start by analysing pay gaps between men and women using the defined foundation analysis criteria. This quickly shows whether gaps are driven by occupational segregation, seniority distribution or structural imbalances in specific parts of the organisation.
Insights Analysis – Understand progression patterns using the defined insights analysis criteria. This reveals whether gaps widen over time, where progression may stall and whether retention patterns are contributing to disparities.
Advanced Analysis – Identify process-level drivers using the advanced analysis criteria. These advanced diagnostics help determine whether disparities arise at recruitment, develop through progression or emerge at reward decision points.
The Equality Act 2010 brought together a range of existing discrimination laws under a single statute and requires employers with 250 or more employees to publish details of their ‘gender pay gaps’. However, while this statistical calculation tells us nothing about discrimination or gender inequality per se and the figure can be affected by a range of issues that have very little to do with direct employer discrimination, it can indicate something about the indirect issues that can affect progression for women employees and other staff with protected characteristics and therefore relative pay outcomes for these groups.
IDR’s expert analysis and interpretation can help you explain and understand the causes of pay gaps in your organisation. Our analysis can also explore how gender pay gaps interact and intersect with other protected characteristics, including age, ethnicity and disability.
Through our detailed knowledge of pay and reward practice we can help you devise strategies to reduce pay gaps and promote equality, diversity and inclusion in the workplace. We can also help explain the difference between equal pay and discrimination claims, as well as help you better understand your risks around equal pay or discrimination claims.