Gender pay gap report - Aegon UK · 2020-06-10 · The table shows the mean and median gender pay...
Transcript of Gender pay gap report - Aegon UK · 2020-06-10 · The table shows the mean and median gender pay...
At Aegon UK, we are determined to create an inclusive workplace and to embrace diversity in all its forms. I am proud of our Inclusion & Diversity Programme and the positive feedback that we have had from our workforce on the progress we are making on this important topic.
We have strong, visible and passionate sponsorship on Inclusion and Diversity from the Executive Committee. Each member of the Executive Committee has personal performance objectives connected to inclusion and diversity and several of them have volunteered as Executive Advocates to our various workstreams of activity, promoting inclusion and diversity in the widest sense.
This is our third year of publicly reporting our gender pay gap data. We have seen some movements in the data and some modest improvements over this period (see appendix 2), but we absolutely recognise that the representation of women amongst our Executive and Senior Management populations is not good enough and we are committed to improving it.
To demonstrate this commitment we have established a Gender Steering Group and workstream and created a plan with short, medium and long term objectives to ensure that we achieve these targets and realise our ambition of a workplace where every employee can belong and fulfil their potential. Some of our key achievements are highlighted in the infographic on the next page.
One of our most visible initiatives in 2019 was our signing of the Women in Finance Charter and the publication of our gender diversity targets for female representation in our senior management population. I am pleased to see that we have made some very good progress against those targets already and are on track to meet our commitment. But this is just a start and we need to push on beyond that, towards true gender balance at all levels of the organisation.
To do this, we are placing a particular focus on personal and leadership development at all levels of the organisation to create a sustainable pipeline of female leaders. All of our Senior Leadership Team have participated in Inclusive Leadership and Unconscious Bias training during 2019. As we move into 2020 we are asking all of our employees to set development goals and taking steps to ensure that great development conversations are taking place at all levels of the organisation. Twelve of our senior female colleagues attended the highly regarded Leadership Summit development programme run by the Pipeline consultancy, and we are also sponsoring several of our current and aspiring female leaders through various other leadership development programmes.
Thought leadership and networking events have also been a key focus, with us agreeing a corporate partnership with Women in Banking and Finance and hosting a number of internal and external events with notable female guest speakers, identifying female role models and sharing success stories. We also reviewed our approach to talent acquisition and development with an inclusion and diversity lens.
We are passionate and committed to creating an inclusive culture, ensuring equal opportunities in our workplace and we firmly believe we are more likely to be sustainable and successful as a company if we help everyone to be the best they can be.
I confirm the data reported is accurate.
Gill ScottHR Director
2019 Gender Pay Gap Report
GENDER WORKSTREAM key achievements
Partnered with Inclusion and Diversity consultants Brook Graham, to undertake a qualitative and quantitative study to understand the key drivers of our gender pay gap and to shape our gender equality strategy
£
objectives
Embedded Inclusion and Diversityand our targets into executive
to drive progress and create a link between our targets and executive pay
Global
Delivered our #BalanceforBetter sessions with listening groups held across our UK locations
Shared stories from a number of our female leaders
Enhanced our shared parental leave policy to bring enhanced shared parental pay into line with our enhanced maternity pay, and also enhanced our paternity pay to better support the equal sharing of child caring responsibilities
Overcoming barriers to success Advancing the company’s goalof enriching workplace diversity
Established a sound structure, steering group and working groups
34.7%
Our annual Gender Pay Gap Report for Aegon UK Corporate Services Limited (which includes Kames Capital and Aegon Global Technology UK) reported our mean gender pay gap as 34.7% and median gender pay gap as 23.4%
Signed up for HM Treasury Women in Finance Charter which includes setting agreed targets of 33% female representation in our CEO-2 population by 2021
33%
Supported International Women’s day in March including dress for success event
Partnered with leading providersto o�er leadership development programmes to a number of female senior leaders across our business, with an alumni network established to support ongoing development of participants.
Hosted a series of Talking Heads network events with internal and external notable female guest speakers
High profile female appointments, including Chief Internal Auditor and Chief Actuaryand CustomerServiceDirector
Building positive, respectful,professional relationships
Established a formal GenderDiversity workstream with Ronnie Taylor, Chief Distribution O�ceras executive sponsor as part of our Inclusion and Diversity Programme, to help deliver our strategy and drive gender equality.
Aegon UK’s commitment to the HM Treasury Women in Finance Charter
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Aegon UK is proud to have signed the Women in Finance Charter in February 2019. The Charter requires signatory organisations to make four public commitments:
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To appoint a member of the senior executive team to be responsible and accountable for gender diversity and inclusion.
We have appointed Mark Till, Managing Director, Digital Solutions as Executive Sponsor for Inclusion and Diversity.
To set internal targets for gender diversity in senior management.
We have set a target to achieve 33% female representation in our CEO-2 population by the end of 2021.
We’ve set this target following the approach advocated by the Hampton-Alexander Review. We believe that focusing on this population alone, however is too narrow and prone to significant variance from small changes in turnover; as such we are focusing on a mix of complementary targets, including a target for all candidate shortlists for appointments to the CEO-2 population to contain at least 33% female and 33% male candidates.
These are aspirational targets, not hard quotas. We will take positive action towards achieving them, however Aegon UK will always appoint candidates on merit.
To publish progress against these targets.
At the time of setting these targets, 30% of our CEO-2 population and 50% of our CEO-3 population were female.
We shall publish our progress against these targets in September 2020 and annually thereafter. We are confident in achieving our targets with our structured and targeted approach.
To have an intention to ensure that the pay of the senior executive team is linked to delivery against these gender diversity targets.
We’ve now implemented a link between these targets and executive pay for 2019 onwards.
We’ve created this link through each of our senior executives having a personal performance objective to promote inclusion and diversity, including actions towards achieving our gender diversity targets. Their performance against these objectives in 2019 will influence their variable pay award for 2019.
The table shows the mean and median gender pay gap based on hourly rates of pay at 5 April 2019; and the mean and median gender bonus gap, based on bonuses paid in the 12 months leading up to 5 April 2019.
The gender pay gap key data– Aegon UK Corporate Services Limited
Item Mean Median
Pay gap 34.7% 23.4%
Bonus gap 65% 27.9%
Mean and median gender pay and bonus gap
Proportion of males and females receiving a bonus
Proportion of males and females by quartile pay band
Illustrates the gender distribution across four equally sized quartiles
Male Female
Mean pay gap per quartile
Upper Quartile
24.5%
Upper Middle Quartile
4.0%
Lower Middle Quartile
0.1%
Lower Quartile
-1.4%
92.9% 93.6%
Male % Female %
2018 2019 Change 2018 2019 Change
Upper Quartile 68.3% 66.5% 31.7% 33.5%
Upper Middle Quartile 50.4% 49.8% 49.6% 50.2%
Lower Middle Quartile 41.2% 41.7% 58.8% 58.3%
Lower Quartile 42.7% 43.8% 57.3% 56.2%
66.5%
33.5% 49.8%
50.2%
41.7%
58.3%
43.8%
56.2%Female
Male
Gender pay explained
The gender pay gap is a measure of the difference between males’ and females’ average earnings across a population, regardless of the nature of the work of the individual, expressed as a percentage of males’ earnings.
The gender pay gap is separate and distinct from equal pay which involves a direct comparison of the earnings of males and females carrying out the same, similar, or equivalent work for an employer.
Aegon UK’s gender pay gap does not represent a problem with equal pay, as our pay review process is gender neutral by design, rather, as with other companies in financial services, our gender pay gap can be attributed to the current lower levels of female representation in senior management roles, and the proportion of females working part time.
Females represent 49% of our workforce, however we have fewer numbers of females than males in senior, higher paid roles, and greater numbers of females than males in our less senior, lower paid roles. This is demonstrated by the gender balance and pay gap by quartile analysis.
Aegon UK has set a target for 33% female representation in the CEO-2 population1 by end of 2021. As at December 2019, this figure was at 32%.
1The CEO-2 population includes the CEO of Aegon UK, the CEOs direct reports, and their direct reports.
Appendix 1: Key data– Aegon UK group (excluding Kames and AGT UK)Aegon UK Corporate Services Limited (AUKCS Ltd) employs more than 250 employees, and these employees are seconded to other companies within the Aegon NV Group who operate in the UK, including Kames Capital and Aegon Global Technology UK (AGT UK). Government regulations require us to report our gender pay gap for AUKCS Ltd as the employing entity,
however we have also considered the gender pay gap that operates for employees working day to day in the separate Aegon NV Group companies. The gender pay gap for AUKCS Ltd employees in the Aegon UK Group (excluding Kames and AGT UK) is included below and the gender pay gap for AUKCS Ltd employees in Kames Capital will be available on the Kames website.
The table shows the mean and median gender pay gap based on hourly rates of pay at 5 April 2019; and the mean and median gender bonus gap, based on bonuses paid in the 12 months leading up to 5 April 2019.
Item Mean Median
Pay gap 28% 13.7%
Bonus gap 53.4% 19.7%
Mean and median gender pay and bonus gap
Proportion of males and females receiving a bonus
Proportion of males and females by quartile pay band
Illustrates the gender distribution across four equally sized quartiles
Male Female
93.4% 93.7%
Mean pay gap per quartile
Upper Quartile
22.3%
Upper Middle Quartile
1.3%
Lower Middle Quartile
-0.1%
Lower Quartile
-1.5%
Female
Male
63.2%
36.8% 44%
56%
41.5%
58.5%
43.6%
56.4%
Male % Female %
2018 2019 Change 2018 2019 Change
Upper Quartile 63.9% 63.2% 36.1% 36.8%
Upper Middle Quartile 44.5% 44% 55.5% 56%
Lower Middle Quartile 42.7% 41.5% 57.3% 58.5%
Lower Quartile 42.1% 43.6% 57.9% 56.4%
Appendix 2:Aegon UK Gender Pay Gap Data since 2017
Aegon UK Corporate Services Limited
Pay gap Bonus gapProportion
getting bonusGender Balance by Quartile Pay Band
Mean Median Mean Median Female MaleUpper Upper Mid Lower Mid Lower
Female Male Female Male Female Male Female Male
2019 34.7 23.4 65 27.9 93.6 92.9 33.5 66.5 50.2 49.8 58.3 41.7 56.2 43.8
2018 35 26 62.4 33.1 94.4 93.7 31.7 68.3 49.6 50.4 58.8 41.2 57.3 42.7
2017 33.8 27.3 58.9 33.8 90 92 31 69 50 50 60 40 54.5 45.5
2019
Pay gap per quartile
24.5 4 0.1 -1.4
2018 20.7 3 -0.5 -1.2
2017 20.7 3.7 1.2 -1.2
Aegon UK Group (excluding Kames Capital and AGT UK)
Pay gap Bonus gapProportion
getting bonusGender Balance by Quartile Pay Band
Mean Median Mean Median Female MaleUpper Upper Mid Lower Mid Lower
Female Male Female Male Female Male Female Male
2019 28 13.7 53.4 19.7 93.7 93.4 36.8 63.2 56 44 58.5 41.5 56.4 43.6
2018 28.8 18.1 52.9 28 94.4 92.9 36.1 63.9 55.5 44.5 57.3 42.7 57.9 42.1
2017 27 18 48 27 89 92 35 65 53 47 63 37 54 46
2019
Pay gap per quartile
22.3 1.3 -0.1 -1.5
2018 19 2.9 0.2 -1.4
2017 17.2 1.5 0.2 -0.4
Aegon UK plc, registered office: Level 26, The Leadenhall Building, 122 Leadenhall Street, London, EC3V 4AB. Registered in England (No. 3679296). CORP383705 03/20