It’s April 2029 and the government is trumpeting the fact that no employer in the UK has a gender pay gap or ethnicity pay gap. All employers say that their median woman’s hourly pay is the same as the median man’s hourly pay and their median white employee’s hourly pay is the same as their median non-white employee’s hourly pay. Would you be joining in the celebrations?
“… our 2019 gender pay report which highlights that on average, women earn more than men across all of our UK sites and divisions…“
When I looked at the two legal entities that were required to report gender pay gaps, I saw that both reported pay gaps favouring men instead. Something odd is going here and it’s a perfect case study to show why anyone who analyses pay gaps needs to pay more attention to a Bletchley Park codebreaker from world war 2 who introduced the world to Simpson’s Paradox.