Female resignations hit new high despite rapid promotion in HR sector

Female resignation rates have hit a new high in the HR sector, despite women achieving promotion at a quicker rate than men. Figures, from a survey of 42,205 individuals, also show that female pay rises have stalled for the first time in more than a decade.

The findings, released today by the Chartered Management Institute and Remuneration Economics, show resignation rates amongst women in HR stand at 5.5 per cent, up from 4.7 per cent last year. The survey also reveals that resignation rates are lower amongst men in the sector (4.7 per cent), ensuring continuation of the recent trend that sees women more likely to quit their jobs. Fewer women (2.6 per cent), than men (3.7 per cent), are also inclined to ask for ëinternal transfersí if they are dissatisfied with their current role.

However, the 34th National Management Salary Survey reveals that, compared to other sectors, women in the HR sector are amongst the least likely to resign. Female resignations are highest in the retail sector, where they have doubled to 11.7 per cent, over the past year. In regional terms, women in the North West are the most likely to leave their jobs, with female resignation rates in the region at 9.2 per cent. Loyalty to employers is highest in Scotland, where only 4.9 per cent of women resigned in the twelve months to January 2007.

These findings come, despite women enjoying faster career progression than their male colleagues. At 37 years old, the average female team leader is 5 years younger than her male counterpart. Aged 40, female ëdepartment headsí are 3 years younger than their male equivalent. The age gap expands in more senior roles as, at an average age of 44, women still achieve director roles quicker than men (age 48).

Yet despite rapid promotion, the survey reveals that efforts to redress the pay gap have begun to stall:

- bonuses are only worth 10.3 per cent of total female income in HR, compared to 14.9 per cent, for men. At 3,370, actual value is also 48.3 per cent lower than the amount received by men (6,518)

- a 5.7 per cent increase in female earnings in the sector is accompanied by a 6.3 per cent increase for men ñ the first time in 11 years male earnings have grown at a faster rate

- in real terms female managers earned an average of 45,108, in the year to January 2007 - 10,294 less than the male equivalent of 55,402. Rather than closing, the difference is identical to last year (18 per cent).

Jo Causon, director, marketing and corporate affairs at the Chartered Management Institute, says: ìIt is clear that the pull of promotion is not being matched by parity in pay. Despite the weight of legislation and the reality that reward should match responsibility, gender bias seems to be getting worse, not better.î

The findings come alongside evidence that the proportion of women as part of the UK workforce, continues to grow. This yearís survey shows 35.7 per cent of managers and directors are female, compared to 31 per cent, last year.

Val Lawson, chair of the Women in Management Network, says: ìThe fact that the proportion of women in senior positions continues to grow is encouraging, but their increasing likelihood to resign is a cause for concern. If employers allow this trend to continue the knowledge gap in UK organisations will be exacerbated at the very time we are trying to challenge the skills crisis.î