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 published yesterday by the Equality and Human Rights Commission.
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. This includes those who felt so poorly treated they had to leave and those who were dismissed or (alone among their colleagues) 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.
Yesterday’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.
David Isaac, Chair of the Equality and Human Rights Commission said: