Black graduates and Black workers pay gap

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Conference
2018 National Black Members' Conference
Date
14 September 2017
Decision
Carried

Conference acknowledges that equal pay is an issue that affect not only Black graduates and workers. However, Black graduates and workers are more disproportionately affected.

Conference notes that once upon a time it was said that Black people are not in the top earners because of a lack of opportunity in education. Whilst some progress have been made on this, there is a lingering discrimination – a discrimination that now takes the form of keeping Black graduates and Black workers pay lower than their white counterparts.

Barriers to equal pay are not merely removed with education, including university education. It is also to do with the difficulties Black people face once they graduate from university and other educational institutions. Research from the Institute for Social and Economic Research at the University of Essex in 2016 found that Black graduates are between 5 and 15 percent less likely to be employed than their white counterparts six months after graduation.

A study commissioned by the Trade Union Congress (TUC) that was reported in July 2017 shows that:

1)Black workers whose highest qualifications are A-levels earn 10 percent less than their white peers.

2)Black workers with degrees face a 14 percent pay gap (£2.63 less per hour), while those with higher education certificates and diplomas face a 20 percent gap (£2.98 less per hour).

3)Black school leavers with a General Certificate of Secondary Education (GCSE) earn 12 percent less (£1.30 less per hour), and those with no qualifications face a 5 percent pay gap (45p less per hour).

4)Regardless of qualifications, Black workers get paid 8.3 percent less than white workers – costing them an average of £1.15 an hour.

Writing in the Law Gazette (18th June 2008), Anita Rice, quoting from a research by the Law Society, states – “Black solicitors earn 17 percent less than white solicitors”.

Writing in the Financial Times – 25th July 2017, Abhishek Parajuli wrote: “the recent tranche of British Broadcasting Corporation (BBC) salary data shows that Black staff are paid far less than their white peers: only 10 of 96 on the highest earning list come from Black backgrounds. And not a single one makes the top 24. For a national broadcaster funded by license fees from a diverse national audience, the revelation that it is trying to buy diversity at a discount is embarrassing.” The article further notes that the BBC pay gap points to a problem that is pervasive across the UK economy.

Conference notes that several women signed a letter to the BBC about the gender pay gap and good on them and rightly so but, is not aware of any similar letter or action about the race inequality issue on pay at the BBC or other public or private organisations.

The Guardian Newspaper 7th August 2017 made the following observations based on various reports they consulted:

a)Black families in the UK earn as much as £8,900 a year less than their white British counterparts.

b)The income gap between Black workers and white workers in the UK is not a flash in the pan/a one off gap but it has been like this for a long time – in other words, it has been consistent and persistent.

There seems to be a deliberate effort on the part of Government and public companies to camouflage the problem of race disparity in pay because when they are asked about this – they produce information about how many Black people they employ. Lenny Henry called this – “fake diversity” – trying to bulk up diversity on the cheap by being keen to show how many Black people they employ instead of the gap between Black and white graduates/workers.

It is a known fact that equal pay makes good business sense. A report from McGregor-Smith, commissioned by the Government that was conducted in the last Parliament, found that Black workers are still being held back in the workplace and if they were to be paid fairly – on par with their white counterparts – the UK economy would benefit by some £25 billion per year.

Theresa May called the pay gap between white and Black workers “an injustice which cannot be allowed in twenty first century Britain”. That is how bad it is that even a Tory can come to such a conclusion. It is however disappointing, but not surprising what she proposed to do about it, namely, to get businesses that employ more than 50 people to report on the pay, age and level of seniority. How is this going to solve the problem of the disparity of pay between Black and white graduates/workers? Whilst there is a place for audits and information, it is not the solution. It must be accompanied by other real and strong measures, including measures of enforcements.

So, to make a difference and, to have real telling and lasting impact, conference calls on the National Black Members’ Committee, to do the following:

i)Consider having a discussion with and seek the support of the National Executive Council to form a strategy to raise awareness nationally and regionally, about the pay gap between Black and white graduates/workers.

ii)Consider having a discussion/consultation with the National Executive Council about the possibility of taking this up with the relevant body of the Labour Party and suggest to them to consider making this matter a policy priority.

iii)Consider having a discussion with the National Executive Council about the feasibility of a campaign for the Government to consider legislation that would require employers to analyse and publish data according to race progression in employment, employment type and pay and, tough penalties for employers who do not comply.

iv)Consider consulting with the National Executive Council on the possibility for Unison to hold a national Black workers and graduates equal pay day. One of the ways this could work is that a day is set aside each year to highlight the inequality of pay among Black workers and graduates.

v)Consider discussing with the National Executive Council the feasibility of seeking alignment/coalition with the wider Trade Union Movement and other supportive bodies to develop actions to address the racial pay inequality in the UK workforce.

Every person, regardless of their race should be allowed to reach their full potential in the workplace and, should receive a fair and just pay.