Social inequality | Is PwC about to reveal it pays working class staff LESS?

Is PwC about to reveal it pays working class staff LESS?

PwC is reportedly set to publish data about the pay gap between its employees from different social classes.

As first reported by This Is Money, and later City AM, the major accounting firm is set to release details later this week of the pay differences between staff from a 'lower socio-economic background' at one end, and the 'professional' class at the other.

According to City AM, PwC will base its criteria for social classes on the occupations held by the parents of its employees.

For example, employees whose parents worked as labourers will be considered from a lower socio-economic background, but those whose parents worked in senior or managerial positions would fall into the professional class.

Alongside the social class pay gap report, PwC will also be publishing details of its gender pay gap this week, reports also claim.

How transparency can help HR

According to This Is Money, Laura Hinton, PwC's Chief People Officer, said the information will allow the company to 'set targets' on closing pay gaps.

HR Grapevine contacted PwC for comment but didn’t hear back at the time of publication.

And PwC are not alone in striving for greater transparency. In fact, their announcement comes just days after fellow Big Four firm KPMG unveiled its own plans to set a target for the number of its staff from working class backgrounds.

As was reported by the Daily Mail, the employer wants working class people to make up 29% of its partners and directors by 2030, and, similarly to PwC, is defining ‘working class’ staff as those whose parents have 'routine and manual' jobs such as van drivers, plumbers, electricians and butchers.

Bina Mehta, Chairwoman of KPMG, said: “I'm a passionate believer that greater diversity improves business performance.

“Diversity brings fresh thinking and different perspectives to decision-making, which in turn delivers better outcomes for our clients.”

The Chief Executive of KPMG UK, Jon Holt, told The Times in a statement: “We know that investors, clients, employees and communities want greater transparency from business, and our Impact Plan is just the start.”

How D&I can help the HR agenda

It seems that Mehta’s comments, about the importance of D&I in the workplace, aligns with contemporary business and HR thinking which points towards the wealth of benefits that can be reaped.

For example, research from Boston Consulting Group (BCG) found that companies boasting greater diversity among senior teams enjoy revenues that are up to 19% higher than competitors.

Separate data has shown that D&I can also help HR with attracting top talent and innovation.

In fact, according to Glassdoor’s 2020 Diversity Hiring Survey, 76% of jobseekers and employers have reported that a diverse workforce is an important factor when evaluating companies and job offers.

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Comments (1)

  • martin
    Tue, 14 Sep 2021 12:53pm BST
    PWC and similar companies have a recruitment system geared to a particular background, often specifying the universities they prerere, so it's hardly suprising that they have a biased recruitment result.
    On the occasions when I've worked with their staff I have found them to be narrow minded/ focussed, lacking detailed knowledge outside their own areas. I was once told 'we don't want people who know all that, we just do the one task'. The are very focussed on 'quick results', which again shows a serious misunderstanding of the long term consequences of their actions and of how long it takes to do things in the real world

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