Scottish Court Finds In Favor Of Women In Glasgow Equal Pay Battle
Background of the study
Gender pay gap is a bitter truth for the women in the United States of America, the United Kingdom and rest of the countries across the globe. This is a hard truth that despite working hard for their respective employers, women are paid only a portion of what men receive in numerous countries across the globe in particular in the United Kingdom. The gap has been realized as a universal issue and does exist in a vast range of occupational resources (Mandel and Semyonov 2014). The gender pay gap is measurable in three different ways such as by hourly & weekly earnings and the annual income. In all the three cases that have been talked about for calculating the gender pay differences, researchers focus on median earnings in context to women versus men (Mandel and Semyonov 2014). Discrimination can occur for various reasons that also include difference in behaviour with employees based on the differences in their age, sex, race, skills, and others (Mandel and Semyonov 2014).
This study is also based on the same issue and progresses in the light of the given case study which is on the court victory that thousands of women had in Glasgow for equal pay battle. The case study depicts and explores, in brief, a very tragic matter of labor law which is largely being followed by employers in the countries across the globe (Webber 2016). In the given case study, few important things like the victory that the women had received, the matter of concern and the role of trade unions in fighting for the affected women are being highlighted.
The study is purposefully based on understanding the concept of gender pay gap and its impact on the women. Additionally, the study also considers the role of trade unions that it plays to negotiate the gender-based pay gap.
The court victory that has been highlighted in the given case study does reveal the few facts which are necessary to consider to progress with the topic of discussion in concern. The court victory has favored a thousand of women who had suffered from discrimination based injustice that also impacted their earnings. The court has held the ring-fencing bonuses as discrimination. The council had actually implemented a pay protection system that effectively safeguarded the bonus payments dedicated to the red-circled staff. It actually benefitted them. The court in Glasgow had felt the system as discriminatory.
The views of the different authors
The case study has also established the valuable supports from Unison which is one of the trade unions. They have supported the 6,000 female workers who could have lost their job on being felt exhausted due to the discriminatory system. The union has made few claims of which some of the claims were dated back in 2006. The court has instructed the HR departments to take extra precautions while designing the payment protection offers. Equal pay was largely being highlighted as a matter of concern in private organizations.
The given case study has highlighted the few very important facts such as the payment system. The pay system according to the given case study was discriminatory. The study will now focus on identifying and understanding the concept of equal pay in the light of useful articles. According to Davies, McNabb and Whitfield (2015), the gender pay gap is not due to some challenging circumstances that women have to face like reducing the work pressure to give sufficient cares to the child, birthing a child, being in the pregnant situation or taking care of the other family members. This is indeed because of the educational differences that cause the maximum destruction. Women as according to Davies, McNabb and Whitfield (2015) have long struggled to be in institution for higher degrees. This could be due to many reasons like the cultural beliefs or possibly the discrimination. However, things are now getting changed. The rate of participation of women in higher studies is now increasing as confirmed by the UNESCO which has published the first World Atlas of Gender Equality in Education (Guninetwork.org, 2018). The fact can also be understood from a theoretical perspective such as the human capital model. The model states that every human being has some form of human capital which is produced in them with the help of various external resources like education, training programs and experience (Bailey et al. 2013).
In the light of the facts what the authors have pointed towards, it appears that women are getting affected by not being highly qualified. Male employees, on the other hand, are highly blessed with higher professional degrees.
The authors Chi and Li (2014) have argued the fact presented by the authors Davies, McNabb and Whitfield (2015) by stating that gender-based pay gaps have its root in the ancient history. As opined by the authors Chi and Li (2014), gender biases still thrive today. To many employers, men’s labor is much more valuable than the women’s. This according to the authors Chi and Li (2014) is an unconscious assessment of work values. It favors the biases based on various gendered binaries like rationality is with men while women are known for emotions, men are believed to be stronger while women are weak, men are borne to be the leaders while women are there to follow and many others.
Xiu and Gunderson (2014) have gone a different way than the authors McNabb and Whitfield (2015) and Chi and Li (2014) by focusing much on the solution rather than making debatable talks on the subject matter. The authors Xiu and Gunderson (2014) have felt that to have a society free from discrimination, it is important that everyone in the society eliminates the discriminatory elements from within the inside. This will help to eliminate the evil thoughts from the society and will probably help to bring a much fairer labor policy in countries across the globe in particular in the United Kingdom.
The views of the different authors have been depicted in this section which commonly points towards few very important facts. The gender-based pay gap is because of the competency skills that demand professionally skilled employees. It is assumed also that men are more competent than women in regards to professional competency. Pay inequality can also be due to some historical facts that governs men as a dominating character. According to the beliefs, women are emotional, lack the leadership skills and are physically weak. Men, on the other hand, are physically stronger, fuelled by the leadership skills and are rational.
Unequal pay is prohibited under the Equality Act 2010 which states that women and men should be equally paid. The law covers all kinds of contractual terms intending that contractual terms of women are no less constructive than a man’s. Hence, pay based discrimination may attract severe consequences if women have sufficient understanding of how to utilize the law (Hepple 2014). As argued by the authors Bracha, Gneezy and Loewenstein (2015), the effect of unequal pay can be severe. The author has supported their views by pointing towards a fact that states women are a much better leader than men. In the light of the fact presented by authors it means that in significant cases, women can prove to be profitable for the organization as they are comparatively much better leaders. The unequal pay in this context will mean an uncompetitive view of such employers that have the same system of disregarding the labour values of women. The authors Bracha, Gneezy and Loewenstein (2015) have further added that such discrimination will also affect the country’s economy as many women may decide to end up with their jobs for the sake of different other reasons. Such reasons may or may not be the causes behind the surrender if there has been an equal pay system as believed by the authors Bracha, Gneezy and Loewenstein (2015).
Conroy, Gupta, Shaw and Park (2014) have traced the existence of pay based discrimination for women in ancient ages. In the various families across the globe, boys are paid with more pocket money than girls. This is indeed a very important fact that tells that discrimination starts at the very early age of life. Various family members as according to Conroyet al. (2014) are grown with the mentalities that boys are highly valuable than girls. It directly sends the message that the world society is up in favor of the pay based inequality. In the light of the stated facts, it can be said that the gender-based pay gap needs to be rectified in the different families across the globe. Moreover, it may also affect the psychological status of women. They will then feel haunted by such thoughts at the different stage further in moments when they will feel unjustified.
Carruthers and Wanamaker (2017) have advocated the views of Bracha, Gneezy and Loewenstein (2015) with a fact that women are preferred for public sector rather than the private sectors. This means they are not given the equal opportunity to move to a higher management position in the private organization. Shin (2016) has supported the views of Carruthers and Wanamaker (2017) and Bracha, Gneezy and Loewenstein (2015) by calling the unfair act with the women as a complex combination. Shin (2016) has validated the statement by stating confusion about what to consider- a fair pay or a power act. According to Torre, Pelagatti and Solari (2015), the explained inequalities can play a significant role in making up the mind against the unfair pay system. This means that if societies are to make up their mind for eliminating the injustice element from within the inside, this will definitely start up an era of change where fair policies will be implemented irrespective of the gender.
This is very much evident that gender-based pay gap will produce an adverse impact on the female workers and also on the economy of the respective countries. Such female workers may end of losing their job for the sake of various other unrelated reasons. This will not only affect their lifestyle but will also hamper the local economy as the country might then lose probable leaders who had left over unidentified. This will also affect the total income of the family as the household incomes are bear with a collective support of both the male and the female workers.
According to Card, Cardoso and Kline (2015), unions can play a very vital role in fighting for the affected female workers in countries across the globe. The case study has highlighted towards a fact that 6,000 female workers are being affected by an unequal pay policy due to the gender differences. The case was filed in the Glasgow court and had thrown results in favor of the female workers. Nevertheless, the case study has pointed towards Unison that is one of the unions in the country. Unison had played an utmost role in taking the matter to the court and fight on behalf of the affected female workers.
Conley (2014) has also supported the fact presented by Card, Cardoso and Kline (2015) by stating that there are still lots of places where female workers are not organized and have not yet considered joining a union. Conley (2014) has emphasized the importance of joining a union for women. In the opinion of Conley (2014) women can have better pay structure and to some extent, there payment can be justified if they join a union system. Unions can support such female workers by standing against the injustice.
As opined by Pulignano, Meardi and Doerflinger (2015), there are differences in approach in the different categories of female workers. Full-time workers who are aged 35 or over they are comparatively much keener than the younger workers to join the union system. In addition to this, part-timers have less interest in joining the union system. In the light of the stated facts, it can be said that an equal approach from the various groups of female workers based on the age group and the work nature may produce a different result in regards to fighting the gender pay gap. Every single group of women should join the approachable unions. This will enhance their strengths and will expectedly bring some necessary changes.
Guillaume (2015) has supported the views of Pulignano, Meardi and Doerflinger (2015) by stating that a stronger union system will yield a much better result. Such a system can be found in the different women groups move together to fight against the unfair pay system. In such circumstances, respective unions will be able to stand against the employers. Moreover, they will be in a position to negotiate on the demands. Employers in such situation will have no other option than to go with the negotiation. Hence, there will be the few changes in regard to the pay system.
To conclude, this can be said the discrimination in pay due to gender differences needs additional cares of the respective governments. As found in the given case study which is on the court victory of 6,000 female workers in Glasgow, the role of respective government can be very effective. Such government will be able to produce policies which will encourage the employers for a much fairer approach. In addition to this, the role of union system is also very important. As mentioned in the case study, Unison which is one of the union bodies has worked effectively for the affected female workers in Glasgow. The case had actually reached to the Glasgow court after the union system has put an extensive effort in pulling up the system in favor of the female workers. There is indeed a need for such union systems that can fight on behalf of the affected female workers.
Society can also play a very important role to reduce the unfair practices to a maximum degree. This can happen in two ways. First of all, it is important that the social world across the globe do not consider differences between the women and the men based on colors, the social status and the traditional beliefs which only considers male as the leaders. They are required to remove the evil things from within the inside. Women at their early ages should also be given the equal preferences as men at their early age receive. Families who are involved in practices to provide boys with higher pocket money, they need to change up their mind and bring a balanced approach to every activity which may produce discriminatory thoughts. Secondly, the affected female workers need have the unity. The different groups of women that exist in the workplace should have an equal frame of mind and are required to move against the pay-related discrimination. There is a need to join the union systems in large numbers as the system may play a very important role in negotiating with the employers.
The human resource management can play a major role in excluding the wrong practices in regards to the pay system. The first recommendation will be for the human resource management that it should know how to calculate the gender pay gap, explain it and eradicate it. People management explains this better and also reveals the sectors which are performing best to eradicate such practices (People Management 2018). The recommendation indeed means that the human resource management will have a major role to play. They will be able to bring a much better result and will also be able to design a pay structure which will be more or less justifiable.
The second recommendation will be for the legal system as it is being revealed by the people management that legal systems are currently toothless (People Management 2018). They are making up policies but are not able to produce a notable impact. This may be due to various reasons like the policies are not being implemented in the private organizations. It can also be due to the negligence of the organizational part. They have been ignorant in regards to the policies related to the resurrection of the lost image of female workers across the globe.
Monitoring the recruitment policy will also help to reach a concluding thoughts on the identified issue. This will help to identify that whether the higher qualifications are being preferred for higher positions. This will probably help to understand the reason behind the women not being in the picture in large cases at the management roles or some other higher positions. However, they may be the best leading personnel as the fact has already been supported in this study. If the selections are being made on the basis of higher qualification then the women should be encouraged to pursue the higher degrees. However, while doing this they will need an utmost support from their employers. They will need supports at the time when their delivery dates are close. They will also need helps probably in the form of flexibility, so that, they could also give some valuable times to their kids. Indeed, the leave policies and the work-related provisions are also required to be monitored in order to identify its feasibility with the notable needs.
In addition to the recruitment and other policies, there is also a need to monitor the pay policy. Here again, the role of the human resource management and the union system will become evident. The union system will be able to negotiate with the employers regarding the pay policies. Moreover, negotiation will be needed in the context of the pay system. An equal pay policy will need contributions of the legal body, the union body and the human resource management.
An improvement in the performance review and the feedback system can also help to rectify the system errors. This will help to identify who is performing or who lacks. Moreover, the identification will help to know whether the female workers have performed well or they have the potentials. A fair system is indeed needed. Moreover, the feedback and the performance reviews may put forward some female talents which were previously not identified. If it happens they will be needed to be promoted to higher positions. On top of all, there is a need to have a fair policy in regards to the pay system, the review system, leave policies and the other such policies.
There is a time for action from the different responsible bodies. Respective governments need to fully incorporate the policies in the number of private organizations. Female workers are needed to collaborate and should join the different union systems. This will enhance the strength of the union body and will also improve the position of women in private organizations. The human resource management needs to take care of the different policies such as the leave and the pay policies.
Bailey, R., Hillman, C., Arent, S. and Petitpas, A., 2013. Physical activity: An underestimated investment in human capital?. Journal of physical activity and health, 10(3), pp.289-308.
Bracha, A., Gneezy, U. and Loewenstein, G., 2015. Relative pay and labor supply. Journal of labor economics, 33(2), pp.297-315.
Card, D., Cardoso, A.R. and Kline, P., 2015. Bargaining, sorting, and the gender wage gap: Quantifying the impact of firms on the relative pay of women. The Quarterly Journal of Economics, 131(2), pp.633-686.
Carruthers, C.K. and Wanamaker, M.H., 2017. Separate and unequal in the labor market: human capital and the jim crow wage gap. Journal of Labor Economics, 35(3), pp.655-696.
Chi, W. and Li, B., 2014. Trends in China’s gender employment and pay gap: Estimating gender pay gaps with employment selection. Journal of Comparative Economics, 42(3), pp.708-725.
Conley, H., 2014. Trade unions, equal pay and the law in the UK. Economic and Industrial Democracy, 35(2), pp.309-323.
Conroy, S.A., Gupta, N., Shaw, J.D. and Park, T.Y., 2014. A multilevel approach to the effects of pay variation. In Research in Personnel and Human Resources Management (pp. 1-64). Emerald Group Publishing Limited.
Davies, R., McNabb, R. and Whitfield, K., 2015. Do high-performance work practices exacerbate or mitigate the gender pay gap?. Cambridge Journal of Economics, 39(2), pp.537-564.
Guillaume, C., 2015. Understanding the variations of unions’ litigation strategies to promote equal pay: Reflection on the British case. Cambridge Journal of Economics, 39(2), pp.363-379.
Guninetwork.org 2018. Women’s access to Higher Education | Guni Network. [online] Guninetwork.org. Available at: https://www.guninetwork.org/articles/womens-access-higher-education [Accessed 10 May 2018].
Hepple, B., 2014. Equality: The Legal Framework. Bloomsbury Publishing.
Mandel, H. and Semyonov, M., 2014. Gender pay gap and employment sector: Sources of earnings disparities in the United States, 1970–2010. Demography, 51(5), pp.1597-1618.
People Management. 2018. Home. [online] Available at: https://www.peoplemanagement.co.uk/ [Accessed 15 Feb. 2018].
Pulignano, V., Meardi, G. and Doerflinger, N., 2015. Trade unions and labour market dualisation: a comparison of policies and attitudes towards agency and migrant workers in Germany and Belgium. Work, employment and society, 29(5), pp.808-825.
Shin, T., 2016. Fair pay or power play? Pay equity, managerial power, and compensation adjustments for CEOs. Journal of Management, 42(2), pp.419-448.
Torre, E.D., Pelagatti, M. and Solari, L., 2015. Internal and external equity in compensation systems, organizational absenteeism and the role of explained inequalities. human relations, 68(3), pp.409-440.
Webber, D.A., 2016. Firm?Level Monopsony and the Gender Pay Gap. Industrial Relations: A Journal of Economy and Society, 55(2), pp.323-345.
Xiu, L. and Gunderson, M., 2014. Glass ceiling or sticky floor? Quantile regression decomposition of the gender pay gap in China. International Journal of Manpower, 35(3), pp.306-326.