Companies to report on gender make-up
The Department for Business, Innovation and Skills says the mesaures will allow investors to identify gender imbalances and help companies address talent blockages.
Announcing other changes aimed at improving the quality of narrative reporting, Business Minister, Jo Swinson said: “It’s widely acknowledged that the UK leads the world in standards of annual reporting, and that those standards are rising every year. However, over a period of years reports have become longer, more complex and increasingly difficult for shareholders to navigate.
“There are many examples of excellent reporting, but there is still room for improvement. Today’s reforms will encourage companies to produce innovative and engaging reports, in line with current business best practice. And requiring them to disclose the number of senior women in the organisation will persuade companies to pursue greater diversity and develop the pipeline of talent, helping drive a long-term culture change at the heart of business.”
The legislation will come into force in October 2013 at the same time as changes to voting and reporting on pay.