Companies with over 250 employees were told that theyneeded to publish data regarding the difference in pay between both men andwomen within their companies.

According to The Law Society Gazette, law firms were amongthe first to divulge this data. Are law firms struggling with the gender paygap as much as other sectors? We investigate the matter with the expertise ofTrue Solicitors, who deal with work issues such as accidentat work claims.

Pay gap deadline

The government announced a requirement for firms to submittheir pay gap data by 4th April 2018. The results can be accessed here. Though itcame as no surprise that the pay gap was still prevalent, the sheer scale ofdifference between men and women's pay across businesses was quite alarming. TheIndependent reported on Ryanair's revelation that women are paid67% less in their company for example.

The pay gap in law

By comparison, the data revealed by law firms was not asbad, but still showed that work needs to be done. A law firm in South Yorkshirereported that the women in their workplace earned a 15.9% less median hourlyrate compared to their male counterparts. However, a London-based law firm sawtheir women's median hourly rate at 37.4% lower than men's.

The Law Society conducted thelargest international survey of women in law in 2018, with 7,781participants. The study found that while 60% were aware of a pay gap problem intheir workplace, only 16% reported seeing anything being actively done aboutit. 74% of men said there was progress regarding the difference in pay betweenthe genders, but only 48% of women agreed with that statement.

The cause: wage,bonuses, or role?

Let's dig further into the issue; what is really causingthis disparity in pay? Is it a difference in bonuses, or are higher jobpositions less readily available for women?

Looking at the same data previously referred to, the SouthYorkshire law firm reported that women's median bonus pay was 20% lower thanmen's. The London-based firm noted a 40% lower median bonus pay for womencompared to men. It is clear that bonuses are also suffering from the same genderdiscrimination as standard wages.

In terms of job roles, The Law Society's survey showed 49%of law workers believe that an unacceptable work/life balance is needed toreach senior roles and is to blame for the gender pay gap, so it is feasiblethat starting a family is deemed a disadvantage for women.

The Balance Careers notes the difference in perception - ifa man starts a family, it is a note in his favour, showing stability andreliability. But for a woman, having children brings an unfair stigma ofunreliability, that they may put their family first. This can cause discriminationwhen aiming for higher roles within the firm, such as partner positions.

Issues in pay forhigher roles within law

But for women who do achieve the status of partner, the paygap does not close any further for them. In fact, according to TheFinancial Times, female partners in London-based law firms earnon average 24% less compensation than men. 34% of women earn less than£250,000, where 15% of men earn less than £250,000.

How law firms canclose the pay gap 

The BBCoffered a variety of suggestions for businesses in general in order to closethe gender pay gap. These suggestions include:

  • Better, balanced paternity leave - allowing fathers to take paternity leave, or having a shared parental leave, would allow mothers to return to work earlier. 
  • Childcare support - childcare is expensive! Support for childcare expenses would help both men and women in the workplace.
  • Allowing parents to work from home - the ability to work from home while raising a family would open up additional opportunities for women to balance both a career and a family.
  • A pay raise for female workers - a simple solution, but a pay raise for women can quickly equalise the pay rate between men and women.