Gender Pay Gap in Cadbury: Management Report on Legal Regulations

This management report examines the gender pay gap within Cadbury, a British multinational confectionery company, highlighting the disparity in pay between men and women. The report delves into the issue, presenting data on the pay gap, including bonus pay, and discussing the impact of gender discrimination on employee motivation and productivity. It outlines Cadbury's aims, relevant legal regulations such as the Equality Act 2010, and potential strategies to address the pay gap, including promoting women in recruitment, using skill-based assessments, salary transparency, and flexible work arrangements. The report further discusses the benefits of closing the gap, such as increased productivity and attracting talented individuals, along with recommendations for companies to follow the equality act, provide equal opportunities, and set transparent policies. Finally, the report concludes that despite government efforts, the gender pay gap persists, and that companies can achieve significant benefits by reducing the gender pay gap and promoting equality in the workplace.

Management Report
On
Gender Pay Gap

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Relevant organisation that operates in the UK............................................................................1
Aim..............................................................................................................................................3
Legal regulations:........................................................................................................................3
Deal with the issue: ....................................................................................................................4
Benefits.......................................................................................................................................5
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Gender pay gap is average difference that happen between the remuneration for men and
women who are working together at same work place. Although many countries are aware about
the issues and working on it, so gender pay gap occur regularly. Such as gender pay gap in the
UK equals 19.2% that means that on average a woman earns 80p for each £1 earned by man. In
present time the gender pay gap for bonuses is increased about 57% (Abosch and Rutka, 2018).
The main aim of this report to present how to organisation apply gender pay gap and To better
understand of this report selected Cadbury, which is a British multinational confectionery
company. The company has been established in 1824 at the England. In this report consist of
understand of issue and apply all relevant theory, legal regulation and benefits to the
organisation.
MAIN BODY
Relevant organisation that operates in the UK
One of the most essential economic trends that occur after the 20th century was the
increase number of women entering the paid labour forces. Gender pay gap apply by the
Cadbury due work at same position by men and women. The gender pay gap provides a basic
understanding to balance the organisation. In the selected organisation a women get amount
about 91P for every £1 that men earn when comparing median hourly wages. After analysis the
data it is getting that about 8.6% hourly wage is lesser than the men's.
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Due to compare the hourly wages through mean so get that, women's mean is lower than
about 11% as compare with men. There is analysing the proportion of quarter regarding women
and it is getting that women work 3.6% of the highest paid jobs and 42.3% of the lowest paid
jobs (Adelekan and Bussin, 2018).
Bonus pay gap: As per the organisation Cadbury, women earn amount £1 that men earn due to
compare with the median bonus pay. It is getting that median bonus pay is 0% lesser than men's.
When women bonus pay compare with the men pay so it is getting that about 72.9% lower than
men's.
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There are finding different gender discrimination in the company and face many type
issues such as:
 Leaving job: Due to discrimination women leave the job so it impact on the productivity
and generate less profitability.
 Structural issues that happen in the company and impact on the thoughts of people and
understand that how to get success.
 Motivation level decrease: Due to increase discrimination women feel low motivated and
they provide work ineffective manner as a result it carry out negative impact (Ahamed,
Wen and Gupta, 2019).
Aim
There are defined different aim of the Cadbury regarding to business:
 To produce products that different from the other company due to achievement a smart
rage, to accomplish their profitable success in confectionery and beverages.
 The another aim of the company is to further take advantage of technology in order to get
growth, quality and productivity.
 The aim of Cadbury to reduce pay gap in different departments to get growth and success
in positive manner (Razzu, 2016).
Legal regulations:
The regulations for all the private and voluntary sector owners who have about 250 or
more staff members so require to publish data on their gender pay gap. It means these legislation
is not apply on the wider companies but in the private, partnership also follow the rules. This
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regulation also applied on the Public sector organisation as per the equality act 2010 and
regulations 2017. So company must follow the equality act 2010, this act use to protect people
from the discrimination at the work place as well as wider society. According to this law provide
equality to men and women at the work place or any other place and reduce discrimination. As
per the wages discrimination take all the appropriate action that helps to get equality at the work
place (Asgari, Carr and Bates, 2019).
It is not required to every organisation present a report to define about figures and how to
introduce and gap that occur in their organisation. In future years it is anticipated that company
will be capable to define the progress to decrease the gap. In the Cadbury organisation find gap
at different level so reduce this gap require to apply specific legal regulation.
Deal with the issue:
To face these problems Cadbury cam take different actions in order to show positive
impact such as:
 Include multiple women in shortlists for recruitment and promotions: Due to put prepare
a list of qualified applicants regarding to post so that time must included woman. If in the
short list select only one woman among the 5 men so there is decreasing the chances to
select woman.
 Use skill based assessment tasks in recruitment: At the time of interview applicants ask
about performance and different task role to applying for. Through performance analysis
the suitability for job role and get right candidate for the particular job.
 Motivate salary negotiation by showing salary ranges: In any organisation employee clear
discuss about the range of the salary as per the job role and motivate women to negotiate
about salary. As a result it supports to know negotiable, staff member should state this
clearly as this can reasonably expect.
 Introduce transparency to promotion, pay and reward processes: The meaning of the
transparency to present everything in front of employees and present how to conduct
procedure regrading to promotion, pay as well as rewards. So employees easily
understand of managers and their decision. Through this action decrease the pay
inequalities (Azmat and Ferrer, 2017).
If Cadbury take appropriate actions to sort out the issues of gender pay gap so it impact
on the cost and provide different benefits. Due to different action increase cost of the company
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because they are increasing the amount of women salary as equal to men when they are working
at same position in the company. Such as Cadbury paid amount to men at the position of senior
production manager and get salary £2500 by man but a woman get amount about £1500 so there
is huge differences between both salary and create discrimination regarding to gender part scale.
To tackle different types of problem required to take some promising actions, which is
require to applied for the effectiveness and implement according to business structure. The
government has developed different policies regarding to actions ad improve involvement of
women in the work force (Healy and Ahamed, 2019). The UK government is analysing the
effectiveness and recommend some actions too such as:
 Improve flexibility at the work place for the men as well as women
 Motivate the uptake of shared parental leave
 Providing sponsorship and mentoring: It is mostly similar the roles, mentors and provide
all the advice as well as guidance to provide help in advancement and visibility of a
person
Benefits
When Cadbury wants to good image in the market so required to reduce all the major
problems that impact on the performance such as:
 It is helping to increase productivity of the organisation and set good image in the market.
 Women make extra effort to complete task effectively and provide good results.
 They are meeting talented people regrading to vacant job role and increase the
profitability.
 Women are not leaving job quickly after decrease gross pay scale.
 People focus on the each task and contribute their effort to get success in the business.
 There is increasing body of governance that provide different benefits to the organisation
regarding to diversity.
 After dealing the particular issue talented people attract for the company and apply for
the job (Janssen, Tuor Sartore and Backes-Gellner, 2016).
Time scale: To reduce gap regarding to pay scale set time scale such as 3 months and
provide chances to all people to prove yourself regarding to task. After analysis the result
provide them right position with right salary whether men or women.
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Cost: Due to reduce gap pay scale increase the cost of the company because they are
paying equal amount to women as well as men. So it will impact on the profitability and increase
expenses.
There is finding many differences between equal pay and gender pay gap because in
gender pay gap men or women working on same position and make more efforts to achieve
tasks. But employer does not pay same and in the equal pay both are not working at same
position and get wages according to performance (Koskinen Sandberg, 2016). Different paying
amount is considering as illegal which is average difference between men and women.
Recommendations
 It is recommended that All the companies follow the act of equality.
 To provide same position and amount to women as compare of the men and provide
chance to grow up.
 Apply different policies to reduce gender discrimination at work place and also include
the women in marketing field if they want.
 It is suggested that set same time scale to increase salary of the women and men.
 In the context of the different pay among men and women become reason of illegal
activities in the year of 1975. For this require to make committee for justice that
currently examine the issue and find out the reason of arise this problem. After that
provide all the appropriate suggestions.
 The reason of the gender pay is critical and varied. So it plays direct discrimination in
the part of the women's salary who is newly come in the office on less equal terms to
men and who may face dual discrimination on the grounds age as well as gender.
 Follow all the government regulations which better for careers and pay scale. So mainly
legislation related with the particular situation is equality act 2010. Provide support to
women into senior roles and increase the number of women in board of directors
committee.
 Due to handling of the gender pay gap get different advantages to Cadbury that present
strong indication. For this required to take strong steps in order to provide flexibility and
apply create effective design. Due to select right candidate for the particular job role.
Furthermore, to increase productivity required to reduce the gender pay gap.
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CONCLUSION
As per the above report it is concluded that gender pay gap occur in most of the
organisation due to provide less payment to women as compare of men. As a result it increase
jealousy and do not contribute their effort regarding to particular task. It shows bad impact on the
organisational performance. So for this require to follow all the rules and regulations that is
related with the gender discrimination. Additionally define all the benefits that get by the
company after reduce the discrimination and recommendations that how to improve
organisational performance. After analysis all the points regarding to gender pay it is concluded
that gender pay gap increase day by day but government take many decision to deduct it.
Moreover, to reduce these gap company get many benefits and increase the productivity as well
as profitability.
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REFERENCES
Books and Journal
Abosch, A. and Rutka, J. T., 2018. Women in neurosurgery: inequality redux. Journal of
neurosurgery. 129(2). pp.277-281.
Adelekan, A. M. and Bussin, M. H., 2018. Gender pay gap in salary bands among employees in
the formal sector of South Africa. SA Journal of Human Resource Management. 16(1).
pp.1-10.
Ahamed, M. M., Wen, J. and Gupta, N., 2019. Does board composition affect the gender pay
gap?. Economics Letters. 184. p.108624.
Asgari, M. M., Carr, P. L. and Bates, C. K., 2019. Closing the Gender Wage Gap and Achieving
Professional Equity in Medicine. JAMA. 321(17). pp.1665-1666.
Azmat, G. and Ferrer, R., 2017. Gender gaps in performance: Evidence from young
lawyers. Journal of Political Economy. 125(5). pp.1306-1355.
Healy, G. and Ahamed, M. M., 2019. Gender pay gap, voluntary interventions and recession: the
case of the British financial services sector. British Journal of Industrial Relations.
57(2). pp.302-327.
Janssen, S., Tuor Sartore, S. and Backes-Gellner, U., 2016. Discriminatory social attitudes and
varying gender pay gaps within firms. ILR Review. 69(1). pp.253-279.
Koskinen Sandberg, P., 2016. Non-decision making in the reform of equal pay policy: The case
of Finnish gender equality legislation. Equality, Diversity and Inclusion: An
International Journal, 35(4), pp.280-295.
Razzu, G. ed., 2016. Gender Inequality in the Eastern European Labour Market: Twenty-five
years of transition since the fall of communism. Taylor & Francis.
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