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25/03/2013

Equal Pay Audits

CODE: GREEN

Proposed amendments to the Bill may mean that employers could be forced to carry out potentially expensive equal pay audits, and publish the results, if a tribunal finds them guilty of breaching equal pay in relation to contractual pay or sex discrimination laws in relation to non-contractual pay.

The proposals would not simply give employment tribunals the power to order an audit, but would require them to do so unless particular conditions were met. The change in the law is intended to avoid or prevent continuing breaches of equal pay laws and employers are encouraged to give serious thought to their pay structures.

The regulations may yet make further provision on the content of audits, the duties of a tribunal when deciding whether an order has been complied with and the circumstances in which an audit must be published.  The Government’s response to the consultation can be found at: https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/85570/government-response.pdf?view=Binary

The Regulations were expected to come into force on 1 April 2013, however, the Bill is likely to still be making its way through parliament at this time.

For further information please contact a member of our employment team or call 01737 854 500 or email [email protected]


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