Equal pay - a guide for employees
If you believe that your co-workers are being paid more than you for undertaking equal work of equal value then you may have an equal pay claim
Read our guide on equal pay claims below – our employment solicitors have laid out a guide on your rights so that you have a better understanding of when you may have an equal pay claim
What is equal pay?
Equal pay refers to the legal right for men and women to receive the same pay and contractual benefits when performing equal work. This principle is enshrined in the Equality Act 2010 in the UK. Equal pay covers all aspects of remuneration, including basic salary, bonuses, pension contributions, overtime rates, holiday pay, and other benefits.
The aim of equal pay laws is to eliminate pay discrimination based on gender and to ensure fairness in the workplace. Employers must not use gender as a reason to pay one employee less than another if they are performing the same or comparable roles.
Who has a right to equal pay?
Everyone has a right to equal pay if they are employed in the UK and can compare their pay to a colleague of the opposite sex who:
- Works for the same employer
- Performs the same or equivalent work
- Works at the same establishment or an establishment under the same ownership
It is important to note that the comparison can only be made with someone of the opposite sex. However, other forms of pay discrimination (e.g., based on race, age, or disability) may fall under different anti-discrimination laws.
For further reading on this, please see our guides on:
What is equal work?
Equal work means work that is:
- The same or broadly similar
- Of equal value in terms of skill, effort, and decision-making responsibilities
- Rated as equivalent in a job evaluation scheme
Employees can make a claim for equal pay if they believe their work falls into any of these categories compared to a colleague of the opposite sex who is earning more.
What is “the same kind of work”?
“The same kind of work” refers to roles where the duties and responsibilities are so similar that any differences are insignificant. For example, two employees working in identical job titles and carrying out the same tasks would be considered to perform the same kind of work.
However, differences in pay may be justified if the employer can demonstrate that the disparity is due to a “material factor” unrelated to gender, such as differences in qualifications, experience, or location.
My employment contract states that I’m not allowed to discuss my pay with other employees – what can I do?
Under the Equality Act 2010, pay secrecy clauses in employment contracts are unenforceable if they are used to prevent employees from discussing pay for the purpose of identifying pay discrimination. Employees are legally protected from victimisation if they discuss their pay to uncover potential inequalities.
If you face repercussions for discussing pay, you may have grounds to file a grievance or pursue a claim against your employer. Always seek legal advice if you’re unsure about your rights.
Further reading: grievances in the workplace
What is the difference between the gender pay gap and equal pay?
While both terms address issues of workplace equality, they are not the same:
- Equal Pay: Focuses on individual cases of pay inequality between men and women performing equal work. It is a legal requirement under the Equality Act 2010.
- Gender Pay Gap: Refers to the overall difference in average earnings between men and women across an organisation or sector. It highlights structural inequalities but doesn’t necessarily indicate that individual employees are being paid unfairly for equal work.
An employer may have a significant gender pay gap but still comply with equal pay laws if all employees performing equal work are paid equally.
Can I make an equal pay claim?
You can make an equal pay claim if you believe you are being paid less than a colleague of the opposite sex for equal work. To make a claim, you need to:
- Identify a comparator of the opposite sex
- Demonstrate that their work is the same, equivalent, or of equal value to yours
- Show that you are paid less than the comparator
- Prove that the difference in pay is not due to a material factor unrelated to gender
The comparator must be a genuine colleague of yours who works for the same employer, either in the same location or a similar location.
It’s essential to gather evidence, such as job descriptions, pay slips, and any relevant workplace policies, to support your claim.
How do I make an equal pay claim?
Follow these steps to make a claim:
- Raise the issue informally: Start by discussing your concerns with your employer. They may provide an explanation or resolve the issue without further action.
- Submit a formal grievance: If the issue isn’t resolved informally, file a written grievance through your employer’s grievance procedure.
- ACAS Early Conciliation: Before submitting a tribunal claim, you must notify ACAS (Advisory, Conciliation and Arbitration Service) for ACAS Early Conciliation. This process allows you and your employer to resolve the dispute without going to court.
- Employment Tribunal: If Early Conciliation is not successful (and there is no settlement), you can submit an equal pay claim (or a sex discrimination claim, depending on your circumstances) to the Employment Tribunal.
You must submit an equal pay claim to the Employment Tribunal within six months of the date of the termination of your employment; the time limits will be different with a claim for sex discrimination.
What compensation can I get for an equal pay claim?
If your equal pay claim is successful, the tribunal may award:
- Payment of pay arrears: Compensation for the difference in pay, which can be claimed for up to six years before the claim was filed.
- Interest: Additional payments for interest on the back pay owed.
- Future pay adjustments: Ensuring your pay is brought in line with your comparator moving forward.
The Employment Tribunal can also make a declaration of your rights under the equality clause.
You can’t obtain compensation for non-economic loss (e.g. injury to feelings) in a case which is purely an equal pay claim, but you may be able to obtain an award of injury to feelings if you pursue a sex discrimination claim.
Equal pay is a fundamental right designed to promote fairness and eliminate gender-based pay disparities. If you believe your rights are being violated, it’s crucial to act promptly and seek advice from an employment solicitor to explore your options and secure the compensation you deserve.
Next steps
If you want to discuss an issue relating to equal pay then you can contact one of our specialist employment solicitors using the following details:
- By email: enquiries@redmans.co.uk
- By telephone: 020 3397 3603
- By requesting a callback
Other relevant guides:
Contact our employment solicitors
Our employment lawyers are experts in dealing with Employment Tribunal claims and advising on employment disputes.
Tessa Harris supervises our employment law team and has extensive experience in advising employees on employment claims, Employment Tribunal proceedings, and settlement agreements.
Speak to Tessa today to discuss your situation.
