WIREDGOV

British businesses are losing nearly £280 million each year as a result of women being forced out of their jobs by pregnancy and maternity discrimination, according to new research carried out by NIESR for the Equality and Human Rights Commission and published yesterday.

The losses to business were largely due to recruitment and training costs, and lost productivity. These could be even higher when reputational risks, loss of valuable staff, employment tribunals and longer-term productivity impacts are also included.

The new research also showed the cost to British women could be as much as £113 million a year when they’re forced to leave their job due to pregnancy discrimination. This includes those who felt so poorly treated they had to leave and those who were dismissed or (alone among their colleagues) were made compulsorily redundant. It found that women were most likely to be financially affected when they felt forced to leave their job at an early stage of their pregnancy, due to loss of earnings.

The research finds that women who keep their jobs still report a financial loss due to pregnancy discrimination of up to £34 million in total over the following year. This includes failing to gain a promotion, having their salary reduced, being demoted and receiving a lower pay rise/bonus than they would otherwise have secured.

Today’s findings follow recent research published by the Equality and Human Rights Commission and the government that showed over three quarters of pregnant women and new mothers (77%) – the equivalent of 390,000 women - experience negative and potentially discriminatory treatment at work each year.  A total of 11% - the equivalent of around 54,000 - are forced out of their jobs. In contrast, less than 1% of women reported lodging a complaint at an employment tribunal.

Dr Monique Ebell, who co-authored the report said:

"The report presents stark evidence that what many of us intuitively believe to be unfair or wrong is also financially detrimental not just to the women but to the employers themselves, for whom forcing mothers from their jobs is akin to a form of self-harm."

Notes:

The report is entitled ‘Estimating the financial costs of pregnancy and maternity-related discrimination and disadvantage’ and was co-authored by a NIESR team made up of Helen Bewley, Dr Monique Ebell and John Forth. You can read the report here.

For more information or quotes about the report, please contact:

• press@niesr.ac.uk  or  020 7654 1923

NIESR aims to promote, through quantitative and qualitative research, a deeper understanding of the interaction of economic and social forces that affect people's lives, and the ways in which policies can improve them.

Further details of NIESR’s activities can be seen on http://www.niesr.ac.uk or by contacting enquiries@niesr.ac.uk Switchboard Telephone Number: +44 (0) 207 222 7665