The government has confirmed plans to introduce mandatory pay gap reporting for ethnicity and disability, requiring large employers to disclose workforce data in a move designed to improve workplace transparency and tackle entrenched inequalities.
Firms with 250 or more staff will be required to publish six core pay gap metrics alongside new information on the composition of their workforce. The commitment, announced alongside the publication of consultation responses today, represents a significant step beyond the existing gender pay gap framework introduced nearly a decade ago.
Consultation feedback revealed strong backing for the proposals, with 87% of respondents agreeing that mandatory reporting would help remove barriers to progression for minority ethnic and disabled employees. The government said the new rules would help ensure that everyone has a fair opportunity to get on in the workplace, supporting broader efforts to drive economic growth and make work pay.
Indicative legislative clauses have been drafted in collaboration with businesses that already report ethnicity and disability pay data voluntarily. The aim, according to officials, is to build on the existing gender pay gap reporting model, simplifying the process for employers and making it easier to record and publish the required information.
The move has been welcomed by campaigners who have long called for greater transparency on pay disparities affecting disabled people and ethnic minorities. While gender pay gap reporting became mandatory in 2017, ethnicity and disability pay gaps have remained voluntary, with only a minority of large employers choosing to publish such data.
The government said the legislation would help create a level playing field, ensuring that all large employers are held to the same standard and that progress can be properly tracked over time. Further details on implementation timelines are expected in due course.
Seema Malhotra MP, Minister for Equalities, said: ‘No-one deserves to be held back at work because of their ethnicity or disability. Everyone should be able to expect fair pay and progression opportunities for their hard work.
‘By introducing ethnicity and disability pay gap reporting, this Government is committed to ensuring transparency and tackling unfairness where it exists, promoting inclusion in our workplaces and our economy.
‘The government wants to ensure that whoever you are, wherever you come from, Britain is a country that will respect your contribution and give you a fair chance to get on in life.’
Photo: Rob Thompson
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