Study points to gender bonus gap

A new study highlights the gender bonus gap.

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Men are paid on average more than twice as much in bonus pay as women, according to a new study.

The study by Aaron Wallis sales recruitment is based on Office for National Statistics figures for full-time workers and found average full-time working male took home £2,613 in bonus pay compared to £1,158 for the average female. The average bonus for a full-time worker in the UK was £2,242.

One leading cause of the gender bonus gap is the link between bonus amount, age and seniority at work. When broken down by both age and gender, for instance, the data shows males between 40-59 tend to earn around twice as much incentive pay as females, taking home an average of around £3,500 per year.

Corporate managers and directors get the highest bonuses – an average of £7,878. This compares to business, media and public service professionals who get an average bonus of £2,271; science, research, engineering and technology professionals who receive an average of £2,197; skilled metal, electrical and electronic trades who get £946; and secretarial and related occupations who receive £415. Health professionals get on average just £180 and caring personal service occupations just £37.

The average private sector (full-time worker) bonus in 2018 was £2,441. This is still substantially less than incentive pay before the 2008 recession: in 2008 the average private sector bonus pay was £3,038. Full-time earners between the ages of 40-49 earn the largest bonuses, over twice that of UK earners between the ages of 22-29: £2,879 vs £,1234

The data shows that where you work is also significant: a full-time private sector worker in London receives on average over three times the national average, for instance.

Meanwhile, the FT reports that six per cent of UK employers have so far reported on 2018 gender pay and the data submitted shows a median pay gap of 11.4%, a small decline from 11.8% last time. And the Daily Mail reports on efforts to address a gender pension gap. It says that a number of large firms are preparing to add new pension costs to their balance sheets to even out payments between men and women following a court ruling against Lloyds Banking Group. The case, brought by three women who claimed sex discrimination because their pensions were increasing at a lower rate than those of their male colleagues, centred on Guaranteed Minimum Pensions and the fact that a divide arose due to the assumed retirement age of 60 for women and 65 for men.

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