Lloyd’s has revealed that women earn on average 27.7 percent less than their male counterparts as the Corporation published its 2017 gender pay gap report.
The gender pay gap is the difference between the gross hourly earnings for all men and the gross hourly earnings for all women.
On a median basis, Lloyd’s reported that the pay gap was 32.1 percent. The mean bonus pay gap was 36.7 percent whilst the median bonus pay gap was 40.7 percent.
However, the percentage of female employees receiving a bonus is slightly higher than for men, at 87.3 percent versus 84.7 percent.
Lloyd’s CEO Inga Beale said: "We know that access to senior roles has historically been limited by the culture of the insurance sector that was much less inclusive and welcoming than it is now.
"While there has been good progress, particularly over the past 30 years, progress is simply not happening fast enough. We must turn this situation around, not just to benefit women, but to benefit the whole sector."
Lloyd’s highlighted that one of the key drivers of the gender pay gap was that there was a higher proportion of men than women in senior roles across the Corporation. Although Lloyd's has a 50:50 gender balance spanning the executive committee, there is almost double the number of men (66.2 percent) than women (33.8 percent) in the highest paying quartile.
In the lowest paying quartile, this is reversed, with over twice the amount of women (66.2 percent) than men (33.8 percent).
Another driving force is that there is a higher proportion of women who work part-time. Lloyd’s said that part-time employees are more likely to experience slower career progression than those who work full time, which can impact remuneration.
Around 11 percent of Lloyd’s employees work part-time, of which 92 percent are women.
Beale said: “Reporting on our gender pay gap is an important step forward in tackling this long-standing and systemic issue. Lloyd’s already has in place a number of initiatives and policies to redress the gender imbalance, particularly in our talent pipeline. These include a senior management gender diversity target of at least 40 percent female and 40 percent male in the next five years. We also have policies that cover inclusive hiring practices, shared parental leave and that support working families.
“These steps are heading in the right direction, but it is clear that we need to expedite progress.” As well as the practices already in place, Lloyd’s outlined four 2018 objectives to reduce the gender pay gap over time, reaffirming that it is committed to closing the gender pay gap by working to increase the number of women taking up senior roles across the Corporation, and improve the gender and broader diversity balance across all levels.
“We will continue to highlight and take decisive action on closing the gender pay gap within the Lloyd’s Corporation, and act as a leader across the global insurance sector. Empowering our talent to fulfil their true potential is crucial to our future. We are committed to celebrating and seeking diversity in all its forms, guided by a gender balanced senior leadership that is as diverse as our global reach,” Beale concluded.