Gender Pay Gap Report 2020

 

Improvement of 12% in mean gender pay gap

Improvement of 5% in median gender pay gap

A word from our CEO

Quote Icon Azets was formed just over a year ago via the acquisition of a large number of different accountancy firms. During that time, narrowing our gender pay gap has been a key area of focus as a new entrant to the UK top 10 accounting firms. Whilst I am delighted with the significant improvement we have made, as a business focused on diversity and inclusion, we recognise there is much work to be done to bring our gender pay gap down.

Chris Horne, CEO at Azets

At Azets our people are the key to the success of our business, and we are committed to promoting diversity and creating an inclusive workplace where everyone can achieve their full potential.

The UK Government requires all employers with 250 or more employees to annually disclose their gender pay gap using the following metrics:

  • Mean gender pay gap
  • Median gender pay gap
  • Mean bonus gender pay gap
  • Median bonus gender pay gap
  • Proportion of men and women receiving bonuses
  • Proportion of men and women in each pay quartile

We are pleased to share our gender pay and bonus gap figures which continue to help us understand how the average earnings of male and female employees working at Azets differ. The data in our gender pay analysis, taken at 5 April 2020, has been calculated using the standard methodologies set out in the Equality Act 2010 (Gender Pay Gap Information) Regulations 2017.

 

Understanding Gender Pay

The gender pay gap is not the same as equal pay. Equal pay is about ensuring that men and women performing the same or equivalent work are paid the same, whereas the gender pay gap is a statistical calculation which looks across all roles, at all levels within the organisation.

 

Our Gender Pay and Bonus Gap Data

 

Mean

Median

Pay Gap 2019

43.4%

26.5%

Bonus Gap 2019

65.4%

54.5%

Pay Gap 2020

31.3%

21.3%

Bonus Gap 2020

76.4%

57.7%



 

Pay Quartiles

The proportion of men and women in each pay quartile. 

Upper Pay Quarter

%Men

62%

%women

38%

 

Upper Middle Pay Quarter

%Men

39.3%

%women

60.7%

 

Lower Middle Pay Quarter

%Men

34%

%women

66%

 

 Lower Pay Quarter

%Men

41.9%

%women

58.1%

Bonus Recipients

 

Male

Female

Proportion of males and females receiving bonuses

36.1%

27.4%



 

 

Commentary

Azets has a mean pay gap of 31.3% and a median pay gap of 21.3%. We have seen positive movement since our last reporting with a reduction of 12% to our mean gender pay gap and a reduction of 5% to our median gender pay gap.

We have a gender split of 46% male and 54% female across the firm overall however in all three of the lower quartiles we have a higher proportion of females. Our gender pay gap develops as careers progress, with our upper quartile being comprised of 62% males compared with 38% females.

At Azets, people in Partner roles are employees of the business and are included in our gender pay gap data. In many of our competitor businesses, Partners are not employees and their pay data is not therefore included in their statutory gender pay gap reporting although is sometimes reported in other publicly available information. Taking that information into account, Azets mean gender pay gap including Partners is often better than at competitors.

 Quote Image

Quote Icon We will ensure this continuous improvement through the important measures we have already introduced alongside our new Global Talent Programme, ‘Azets Reach!’, which delivers a range of initiatives to support the development and career journeys of all our Azets employees. Within this, we are particularly focused on supporting women to become Partners and take more senior roles in the business.

Chris Horne, CEO

Our actions

Azets was formed in the UK in 2020 following the acquisition of a large number of different accountancy practices with legacy gender pay structures. Over the past year narrowing the gender pay gap has been a key area of focus for the leadership team as we transform the combined business into a modern Top 10 Accountancy practice. Whilst we are pleased with the significant improvements in our gender pay gap made in the last year (12% improvement in mean hourly pay and 5.% improvement in median hourly pay) as a business focused on diversity and inclusion. The majority of our gaps are driven by under-representation of females in senior roles within Azets and we recognise that we have further improvements to make, and this will remain a critical focus for us.

 

Over the past 12 months we have:

Introduced new maternity and paternity pay arrangements giving 3 months full pay followed by 3 months half pay for maternity leave and 2 weeks full pay for paternity leave after one years’ service, to enable new parents to take the time they need away from the business, to support their time off and to retain our parent population.

Introduced flexible hours and more agile working arrangements.

Transitioned from legacy bonus schemes and put in place structured formal bonus schemes that reward the right business performance and behaviours.

Focused on alignment to market of salaries, addressing pay discrepancies arising the legacy of our different acquisitions and moved forward in terms of harmonisation of pay arrangements, internal pay equity and reactivity to the market.

We have an active D&I group with people from across our UK business, designed to feedback important topics, focus on changes we can make to ensure we are more inclusive as a business and to represent all minority groups within our business, holding various events in conjunction with HG including International Women’s Day and women in leadership events.

 

Looking ahead

  • We have appointed a Head of Diversity & Inclusion to support us achieve our plans to further close our gender pay gap, in addition to improving inclusion and diversity more generally.
  • Through Azets Reach our global talent development programme, we have refreshed performance, and talent initiatives to ensure they are transparent and consistent, and meet the needs of feedback from what our people have shared is important to them through our Employee Surveys. This is an inclusive system to ensure every one of our colleagues gets the same experience and is able to build their career with Azets.
  • We have refreshed our onboarding programme ensuring it incorporates both culturally and regulatory aspects of inclusion, and encourages all genders to keep themselves abreast of important topics related to gender including how role-models and allies can work together, which are part of our Managers Toolkit
  • Introduced a robust process for identifying talent and succession planning to develop our top talent from within our business. Internal processes are designed to support and enable career progression have been implemented including a focus on retaining and developing women into senior roles.
  • Making a difference to our communities, we have selected a new UK UK-wide office stationery provider who share our desire to transform the lives of women. For example all profits made by WildHearts Office support the WildHearts Foundation supporting many vital causes including StartHer, which supports women and girls in the developing world through three initiatives (Enterprise, Education and Health) and Micro-Tyco, a multi award-winning enterprise programme, which educates and raises the aspirations of young people in the UK by providing free entrepreneurial training and events.

I confirm the data reported is accurate and has been calculated according to the legal requirements.

Chris Horne,

Chief Executive Officer