Equal pay for UK employees

Equal pay is extremely important in UK employment law. It aims to ensure that men and women receive equal pay and benefits for performing broadly the same or equivalent work. Its goal is also to promote fairness and to combat discrimination at work.

By getting to know some of the principles of equal pay and what the law says about it, you can begin to understand some of the complexities of equal pay claims. You can also get an idea of what’s likely to be involved if your pay is less than someone of the opposite sex doing the same/equivalent work and you’re thinking about making an equal pay claim.

What does ‘equal pay’ mean?

Equal pay means that you should receive the same pay as someone of the opposite sex within the same employment, where they perform:

• Like work: Work that is the same as your or very similar to it.
• Work rated as equivalent: Different work which – by means of a job evaluation scheme – is considered equal to yours in terms of effort, skill, and decision-making.
• Work of equal value: Work that, although different and not rated as equivalent, is of equal value to yours in terms of demands such as effort, skill, or decision-making.

It also includes equality of benefits such as bonuses, pension contributions, and other kinds of compensation.

Measuring equal pay in practice

In practice, measuring equal pay involves comparing your terms and conditions of employment with those of employees of the opposite sex, within the same organisation.

Employers are encouraged to conduct regular pay audits to identify and put right any variations. The main challenge lies in determining what comprises work of equal value, which often requires a thorough job evaluation study.

UK law on equal pay

The key legislation providing the legal basis for equal pay in the UK is the Equality Act 2010. It prohibits an employer from paying a man more than a woman (and vice versa) for like work, work rated as equivalent, or work of equal value.

The Act also states that pay discrimination on the grounds of sex is a form of direct discrimination, which is unlawful.

Example of an equal pay legal case

A recent case that has brought attention to equal pay issues is Leigh Day v Asda Stores Ltd (2023), which (in 2024) is still underway. In this litigation, the claim involves a group of predominantly female retail employees who argue that they have been/are paid less than the predominantly male warehouse staff, despite their work being of equal value.

This case is significant as it highlights the challenges involved in trying to compare different roles within the same company and has set precedents for similar claims in the retail sector.

Evidence required for equal pay claims

Proving an equal pay claim requires strong evidence and arguments. If you want to pursue such a claim you need to start by compiling evidence such as:

• Pay slips and any other records of pay and benefits.
• Job descriptions and any official documentation of job evaluations.
• Evidence of the work performed, including tasks and responsibilities, to demonstrate that the work is like, rated as equivalent, or of equal value to that of someone of the opposite sex doing the same or equivalent job.
• Any relevant communications from the employer regarding pay decisions.

 

Time limits for bringing an equal pay claim 

If you’re seriously thinking about making an equal pay claim, you should also be aware of the time limits for making such a claim. In an employment tribunal in England and Wales, the time limit for equal pay claims is normally 6 months less one day from the last day of your employment. 

Note that most other types of claim taken to an employment tribunal in England and Wales (eg for unfair dismissal) have a time limit of 3 months less one day from when the event happened.

To sum up

Understanding and enforcing equal pay rights is important for both employees and employers. While the legal framework provides a strong foundation for claims, the success for employees of such claims is usually as much dependent on clear evidence and thorough preparation.