Scottish Government
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Scotland to act on equal pay

Tackling pay gap is first priority for Fair Work Commission. 

An independent Scotland will take early action to tackle pay inequality, including how to put in place gender pay audits for larger companies, Cabinet Secretary for Training, Youth and Women’s Employment Angela Constance announced today.

The Scottish Government has proposed a Fair Work Commission to advise on the minimum wage, fairness at work and business competitiveness.

Ms Constance today told the Scottish Parliament its first task would be to review international best practice and set out proposals for gender pay audits which make a real difference to the lives of women working across the public and private sectors – and support sustainable economic growth.

The full-time gender pay gap in Scotland – the best measure – stands at 7.6 per cent and women’s full time median weekly earnings are £90 lower than men’s. Taking hourly median earning for full and part-time together, women earn 17 per cent less than men.

The Scottish Government will also provide a tax benefit to second earners in households receiving Universal Credit. Equalising the earnings disregard between first and second earners is expected to benefit as many as 70,000 people by as much as £1,200 a year and will be of particular benefit to women who are most often the second earner in a household.

Ms Constance said:

“Scotland’s economy is moving from recovery to expansion with labour market statistics published last week showing record levels of women in work.

“On Monday the Scottish Government published ‘Unlocking Scotland’s Full Potential’. It makes clear the importance we place on sharing the benefits of our economic growth more equally.

“This week the Fawcett Society and Chartered Institute of Management published further evidence of a continuing pay gap between women and men and that more women find themselves underemployed in insecure and low paid jobs.

“Women in Scotland are disproportionately disadvantaged by the UK Government’s welfare reforms.

“The equal pay act was introduced in 1970. Forty four years later it is clear that the current constitutional arrangements are not delivering for women in Scotland.

“Where we have been able to, the Scottish Parliament has introduced transformative legislation, on smoking in public places, on same sex marriages and on elderly care.

“Where we can we will move quickly within the current constitutional framework on Scotland’s priorities.

“Yesterday we called for the transfer of powers to the Scottish Parliament to deliver at least 40 per cent female representation on Scotland’s public boards. That stronger female voice will help to challenge persistent inequality.

“With the full powers of an independent nation we would address the still scandalous levels of unequal pay.

“As an immediate priority our Fair Work Commission will consider, in consultation, with key stakeholders including business, how to put in place equal pay audits to identify and address pay gaps across the public and private sector. 

“We want to see women contributing fully to the success of Scotland’s businesses, its public and third sectors and to the continued strengthening of the Scottish economy. And we want to see that contribution benefitting women and their families equally.

“That is why we are acting on the earnings disregard to ensure that everyone who contributes is properly rewarded. regardless of gender or family circumstances.

“Following a vote for independence the Scottish Government will use its powers to deliver a fairer and more equal society. Securing pay equality will be first among our priorities.”

Channel website: http://www.gov.scot/

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