Our Gender Pay Gap Report
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Closing the gap Our gender pay gap report March 2018 2 Closing the gap: Our gender pay gap report Foreword Chris Ireland Neil Murray Virginia Rothwell UK CEO CEO UK HR Director EMEA Corporate Solutions Our common shorthand is to talk about JLL as a ‘property In collating the data for this report, we’ve identified a clear company’. But, of course, our organisation is made up of people, gap between the average earnings of men and women in our not properties. Without the talent, motivation and energy of our organisation, and the reason is clear and unambiguous: employees, we wouldn’t have the successful business we’re so men hold four-fifths of the most senior roles in our organisation. proud of. Our mean gender pay gap is currently 36.7%. But we’re working At JLL, ensuring that everyone in our business is paid fairly is on it. We believe the best way to address the gap is by having fundamental to the way we go about things. It’s part of our more women in our senior roles and we’re pleased to report strategy to create an inclusive environment to attract and that over the last two years, the number of women in JLL’s top retain the best people regardless of gender, age, ethnicity or positions has increased by around one-third. Over the same background. But gender pay gap reporting helps to highlight period, our mean and median gender pay gaps have fallen. something else: the imbalance between the numbers of men and women employed at different levels of an organisation. This is great progress but we won’t rest until our business We are pleased that the UK Government is making businesses reflects the society in which we operate. You can read about publish this information. It will help shine a light on any gender the work we’re doing to make this happen in this report. imbalance in our industry and across UK plc as a whole. Helping people achieve their ambitions is at the centre of Frankly, women have always been under-represented at the everything we do – and that includes supporting our employees senior levels of the property sector. Indeed, it’s only four years to fulfil their potential. since our own UK Board was exclusively male. Thankfully things We welcome the requirement for companies to report on their have already changed a great deal. We believe that gender pay gender pay gap because it fits with our global ambition to gap reporting will help accelerate these changes. succeed through inclusion. We’re especially looking forward The good news is that JLL’s gender pay gap is narrowing. to sharing our progress with you in years to come as we We are well into our journey, although there’s still work to be continue to make strides throughout the business. done. Gender pay gap reports provide a valuable benchmark We confirm the data reported here is accurate. which will help us create a more balanced industry for tomorrow. It’s good for society, and it’s good for everyone with a stake in our business too. Chris Ireland Neil Murray Virginia Rothwell Closing the gap: Our gender pay gap report 3 Gender pay gap: JLL UK the data Mean and median pay and bonus gap Gender Pay Gap Pay & Bonus Bonus Only Gender pay gap vs. equal pay gap Mean 36.7% 78.9% A gender pay gap is not the same thing as an equal pay gap. Median 6.6% 62.5% The gender pay gap is defined as the difference in the average pay between men and women, regardless of the role they do. Quartile analysis It usually results from there being more men than women in senior roles or vice versa. Quartile Band This is not the same as an equal pay gap which is caused by Men Women a failure to pay men and women the same for comparable work. A 74.7% 25.3% Equal pay has been enshrined in UK law since the 1970s and is something we at JLL are committed to guaranteeing throughout the organisation. At JLL, our HR business partners work with our B 63.3% 36.7% directors to monitor and challenge where appropriate any pay decisions that are being made. Our Remuneration Committee C 70.6% 29.4% reviews all decisions around pay increases and bonuses to ensure we pay for performance with equality and fairness. D 56.8% 43.2% Median vs mean averages Percentage of all male and female employees The gender pay gap regulations require us to report average pay who received a bonus gaps in two ways: the median and the mean. The mean gives a more representative picture of our business, and is more useful in helping us shape what we need to do to close the gap, so whilst we include the median figures in our publication we have focussed on the mean in our supporting commentary. 51.6% 39.7% Our median gender pay gap is 6.6% and is calculated by taking the middle number when men and women are sorted from high to low and finding the difference. Whilst we are encouraged by our median number being much smaller and not skewed by a small number in high paying roles, it is the mean number that % of all women % of all men helps us identify that we have too few women in senior roles attracting the higher levels of pay and bonus. At JLL we employ 5,274 men, of which 2,094 received a bonus. The figures Out of the 2,828 women employed, 1459 received a bonus. Our mean gender pay gap is 36.7%. This figure is the result of *Please note that this data represents the combined figures of all men outnumbering women at the top of our organisation by our entities in the UK. The information is based on data for the year a ratio of four to one. The impact of this can be easily seen to 5 April 2017. by removing the 100 top earners in the organisation from the Understanding the gap figures – the mean gender pay gap falls to 20%. You can sum up the reasons for the size of the gender pay gap in our industry in one word: history. In our middle management grades, the figure is 8%, thanks to Although we have long been committed to equal pay, the strong pipeline of women coming up through the ranks the property industry has been very male dominated across JLL. Nevertheless, we clearly have a long way to go for many years. before we are the gender-balanced organisation we want to be – and we’re working on it. Things have changed significantly, but even today four- fifths of our most senior roles are occupied by men. The fact that the reward structure for these jobs Mean and median pay and bonus gap: Our ‘pay’ figures are based on fixed typically includes significant bonus incentives widens salaries plus bonuses. the gap even further. Quartile analysis: The quartiles are determined by listing everyone by hourly rate, high to low, and dividing the list as close to equally as possible by 4. This shows the representation of women in each of the quartiles. This approach Over the next few pages we’ll look at what we’ve is adopted by all reporting companies in accordance with the guidelines and already achieved, and the work we’re doing to therefore gives a consistent view of where women sit in organisations. improve things further. 4 Closing the gap: Our gender pay gap report How we’re narrowing our gender pay gap Data is most useful when it lets you see what’s happening over time. So, we went back over previous years to help create a picture of our progress. The results are encouraging – our gender pay gap went down from 58% to 50% between 2014 and 2017.* *In order to compare like for like, these figures exclude data from LaSalle and Integral. Some of the initiatives which have helped us narrow the gap are shown on the timeline below, together with some of our key diversity and inclusion milestones. 2014 2015 2016 2017 2018 Nominations of female First analysis of gender 30% of graduate recruits Diversity strategy Remuneration participants for strategic pay gap and continued are BAME. (Black Asian launched committee created training up by 64% year equal pay review Minority Ethnic) on year Unconscious bias Steady increase in Success rate of women training rolled out Shared Parental Leave Unconscious bias First female board going for promotion to those involved uptake from 1 employee training rolling out to all member reaches 93% (up from in recruitment and to 3 to 6 over the last directors 66% five years ago) promotions three years 20% increase in the New initiatives to support Diversity networks rate of people returning Graduate recruitment Second female board women going on launched, including to work after maternity approach overhauled member and returning from Women’s Network leave in the last maternity leave three years Repositioned our JLL UK publishes Maternity Policy to Family Diversity & Inclusion data New Director for Diversity JLL Executive undertakes Matters, reflecting what for the first time, and & Inclusion role created unconscious bias training our people said commits to public and appointed they needed 2020 targets Closing the gap: Our gender pay gap report 5 Our wider diversity and inclusion strategy Narrowing the gender pay gap is one element of our commitment to making sure that equality and inclusivity are a core part of our culture.