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Stuart Gentle Publisher at Onrec

New ONS data shows gender pay gaps narrowing

New ONS data shows gender pay gaps narrowing, but gaps between public and private sector workers and high and low earners widening

Figures from the 2005 Annual Survey of Hours and Earnings (ASHE), published today by the Office for National Statistics, paint a mixed picture of shifts in the UKís various pay gaps, according to John Philpott, Chief Economist at the Chartered Institute of Personnel and Development.

According to Dr Philpott, analysis of the figures shows there has been a welcome narrowing in the median gender pay gap for full time employees. But the median pay gap between the public and private sectors ñ which the CIPD highlighted earlier this year ñ has widened as has the gap between the pay of the UKís highest and lowest paid workers.

Dr Philpott, arguing that employers and the Government should draw lessons from the new figures, said:

ìDespite good news on the gender pay gap, the latest ASHE nonetheless shows that there is considerable scope for further progress toward genuine pay equality, particularly if one considers that relatively few women work full time and that women as a whole still tend to be concentrated in low-paid sectors of the economy.

ìWhile encouraging high reward for high performance, the widening gap between top earners and those struggling in the bottom reaches of the labour market highlights the need for much greater effort to improve the basic skills and earning power of less skilled workers.

ìAnd although everyone recognises the valuable contribution made by public sector workers, at a time of slower economic growth and rising public borrowing, the ASHE figures indicate that the Chancellor can now make a strong case for taking a tougher stance on public sector pay.î