DLUHC's gender pay gap report 2023
Published 30 November 2023
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Executive summary
This report covers the submission for the Department for Levelling Up, Housing and Communities (DLUHC) Group, which includes the core department, the Planning Inspectorate, and the Queen Elizabeth II Centre (the QEII Centre), with gender pay gap data as of March 2023. The DLUHC Group includes other Arms’ Length Bodies who are responsible for their own submissions.
In line with the legal requirements, this report includes reporting on gender pay gaps at the mean and median; the mean and median gender bonus gaps; and the proportion of men and women who received bonuses. We also include a summary of our diversity and inclusion action plan as requested by Cabinet Office.
DLUHC remains committed to taking the necessary steps to address gender pay gaps and this priority is articulated in our diversity and inclusion plan.
1. Introduction
In 2017, the government introduced world-leading legislation that made it statutory for organisations with 250 or more employees to report annually on their gender pay gap. Government departments are covered by the Equality Act 2010 (Specific Duties and Public Authorities) Regulations 2017 which came into force on 31 March 2017.
These regulations underpin the Public Sector Equality Duty and require the relevant organisations to publish their gender pay gap data by March annually, including mean and median gender pay gaps; the mean and median gender bonus gaps; the proportion of men and women who received bonuses; and the proportions of male and female employees in each pay quartile.
This report fulfils the gender pay gap reporting requirements, analyses the figures in more detail and sets out what we are doing to close the gender pay gap in the organisation.
The reporting period is 1 April 2022 to 31 March 2023.
Organisational context
For the Department for Levelling Up, Housing and Communities (DLUHC), our overall gender pay gap figures incorporate data for the core department, as well as the Planning Inspectorate and the QEII Centre. For DLUHC Core, a total of 3226 are in scope of gender pay gap reporting; 52.9% of those in scope are women. Figures for the Planning Inspectorate and the QEII Centre are submitted directly to ACSES. Whilst the data for QEII Centre is included in the DLUHC Group, the Cabinet Office supresses this data in published GPG statistics as a result of the small number of employees, and we have done the same in this narrative report.
This is the seventh annual report on gender pay gaps in the DLUHC Group. We remain committed to analysing and investigating any gender pay gaps and ensuring that we put in place the correct action plans to address them. Since the reporting exercise in 2022, gender pay gaps for the Group have increased slightly at the mean (although for the core department have remained the same, in part because of the even distribution of numbers of men and women throughout the organisation, and despite the changes in the dataset impacted by joiners and leavers). However, gender pay gaps at the median have increased for both the Group and the core department, which can be explained in some cases by the appointment of males at higher grades at higher salaries in both DLUHC Core and in the Planning Inspectorate; as well as being impacted by the gender distribution of appointments at the minimum, with further details set out in this report.
For the Planning Inspectorate gender pay gaps continue to be structural at the median, and it continues to be their priority to find the best possible interventions to deal with these issues without introducing new biases in recruitment.
2. Gender pay gap report
The gender pay gap shows the difference in the average pay between all men and women in a workforce. If a workforce has a particularly high gender pay gap, this can indicate there may be a number of issues to deal with, and the individual calculations may help to identify what those issues are.
The gender pay gap is different to equal pay. Equal pay deals with the pay differences between men and women who carry out the same jobs, similar jobs, or work of equal value. It is unlawful to pay people unequally because they are a man or a woman. DLUHC supports the fair treatment and reward of all staff irrespective of gender.
This year our gender pay gap data has been provided by the Annual Civil Service Employment Statistics (ACSES) based on our data supplied to the Cabinet Office for the period ending 31 March 2023. As part of this approach, each full-pay relevant employee’s hourly rate of pay was determined using full-time equivalent salaries and contracted weekly hours. Permanent and pensionable allowances, non-consolidated performance payments, and salary sacrifice deductions are all incorporated to ensure that the methodology is consistent with reports produced in previous years. The department is satisfied that this approach is wholly consistent with the actual salary, hours, and earnings (ASHE) approach applied in each of the last 6 years.
DLUHC continues to work closely with its executive agencies, the Planning Inspectorate and the QEII Centre, to ensure consistency with previous years following the change in approach to submission of the core statistics which make up the ACSES report. However, like last year, as their gender pay gap data is submitted directly to the Cabinet Office as part of the annual collection of civil service statistics, we are no longer able to analyse and explain their data in the way that we have done in years prior to 2022. In 2022, Civil Service HR requested a more concise report, therefore we will continue to elect not to commission a full report on the gender pay gap data from the Planning Inspectorate and the QEII Centre. In Annex A, there is a brief summary of the changes in gender pay gaps at the Planning Inspectorate from 2022 to 2023; we acknowledge that this is not a full analysis. As indicated earlier in this report, the statistics for the QEII Centre have been supressed as a result of the small number of employees.
As shown below, the Group (DLUHC core department and agencies) has a mean pay gap of 4.9% and a median gap of 10.1%. Both gaps have increased since the reporting exercise in 2022 when the mean gap was 4.0% and the median gap was 6.1%, as shown below.
Mean and median gender pay gaps by organisation, 31 March 2023
| Organisation | % |
|---|---|
| Mean DLUHC | 2.7% |
| Median DLUHC | 6.5% |
| Mean Planning Inspectorate | 14.7% |
| Median Planning Inspectorate | 14.6% |
| Mean DLUHC Group | 4.9% |
| Median DLUHC Group | 10.1% |
Gender pay gap results vary in different parts of the DLUHC Group:
Mean gender pay gap
| Organisation | 2021 | 2022 | 2023 |
|---|---|---|---|
| DLUHC Group | 5.3% | 4.0% | 4.9% |
| Core Department | 3.2% | 2.7% | 2.7% |
| Planning Inspectorate | 13.1% | 11.8% | 14.7% |
Median gender pay gap
| Organisation | 2020 | 2021 | 2022 |
|---|---|---|---|
| DLUHC Group | 11.6% | 6.1% | 10.1% |
| Core Department | 5.3% | 5.9% | 6.5% |
| Planning Inspectorate | 26.9% | 26.9% | 14.6% |
3-year comparison of gender pay gap figures for the DLUHC Group
| Gender pay gap mandatory figures and comparison with previous years | 2020/21 | 2021/22 | 2022/23 |
|---|---|---|---|
| Mean gender pay gap - Ordinary pay | 5.3% | 4.0% | 4.9% |
| Median gender pay gap - Ordinary pay | 11.6% | 6.1% | 10.1% |
| Mean gender pay gap - Bonus pay in the 12 months ending 31 March | 5.3% | -11.5% | 2.6% |
| Median gender pay gap - Bonus pay in the 12 months ending 31 March | -20.5% | 0.0% | -11.1% |
Proportion of male and female employees paid a bonus in the 12 months ending 31 March
| Gender | 2020/21 | 2021/22 | 2022/23 |
|---|---|---|---|
| Male | 57.4% | 55.6% | 67.8% |
| Female | 61.1% | 52.2% | 67.2% |
Pay quartiles have been calculated by splitting all DLUHC group employees into 4 even groups according to their level of pay. Looking at the proportion of women in each quartile gives an indication of women’s representation at different levels of the group. An analysis of the DLUHC group showing the proportion of male and female employees in each quartile is shown below:
Proportion of male and female employees in each quartile, 31 March 2023
| Quartile | Female | Male | Total |
|---|---|---|---|
| Upper quartile | 46.4% | 53.6% | 100% |
| Upper middle quartile | 50.6% | 49.4% | 100% |
| Lower middle quartile | 50.7% | 49.3% | 100% |
| Lower quartile | 57.7% | 42.3% | 100% |
3. Analysis of pay gap for core department
The mean gender pay gap has remained the same at 2.7% against the same period last year. The median gender pay gap has increased from 5.9% to 6.5%.
Our dataset has changed substantially between the 2 years. We have employed 541 new staff between 1 April 2022 and 31 March 2023 and a further 723 staff left the department over the same period. Gender pay gaps at most grades have increased since the reporting exercise in 2022 and this is a result of more female joiners than male, with the females more likely to join at the minimum of the pay range than males, especially if the males are external appointments.
Average (mean) gender pay gap by grade for the core department
| Grade | Female mean hourly rate of pay | Male mean hourly rate of pay |
|---|---|---|
| SCS2 (8.1% pay gap) | £52.6 | £57.2 |
| SCS1 (2.3% pay gap) | £40.4 | £41.4 |
| G6 (1.3% pay gap) | £34.8 | £35.2 |
| G7 (1.9% pay gap) | £28.6 | £29.1 |
| SEO (1.2% pay gap) | £21.2 | £21.4 |
| HEO (2.5% pay gap) | £17.4 | £17.9 |
| EO (1.2% pay gap) | £15.2 | £15.4 |
| AO (0.7% pay gap) | £13.7 | £13.8 |
*As shown above, grades in the Civil Service progress in seniority from AO (Administrative Office) through to SCS (Senior Civil Servant).
Gender pay gaps in the core department have been impacted by changes in the Executive Team in previous years, and this year is no different. This year’s data reflects the appointment of a female Permanent Secretary and an extra male Director General.
The gender pay gap at Director level has risen to 8.1% compared to last year (which was 6.1%). This is due to 6 out of 8 appointments at Director level being male, with 5 of these appointments on salaries above the minimum of the pay range. The widening of the gap at Director level has also been impacted by 2 female leavers who were receiving salaries substantially above the minimum. The gender pay gap at Deputy Director level has also increased this year from 0.6% at the mean in 2022 to 2.3% in 2023. This is a result of 12 Deputy Director appointments made to females in the reporting period, compared to 5 male appointments, which were mostly above the minimum of the pay range. There were also 11 female leavers who were all receiving salaries above the minimum.
For Senior Civil Servants’ recruitment, we scrutinise new external appointments to ensure that we benchmark appropriately and that any differentials in pay offer are justified in terms of skills and experience. However, there are cases where individuals transfer in from other departments, and we are bound to the civil service rules for either level transfer or increase on promotion.
Whilst there have been marginal increases in gender pay gaps at Grade 6, Grade 7, and EO (Executive Officer), and a marginal decrease in gender pay gaps at SEO (Senior Executive Officer), there has been a slightly bigger increase in the gender pay gap HEO (Higher Executive Officer) level which has risen from 1.0% in 2022 to 2.5% in 2023. Analysis of appointments at this level indicates that this is due to the appointment of 99 females compared to 71 males; of these appointments, a higher proportion of National appointments were made to females compared to males (38 females and 23 males).
At AO (Administrative Officer) level the gender pay gap has continued to close from 3.0% in 2021, to 2.7% in 2022, to now 0.7% in 2023. Gender pay gap calculations do not differentiate on region, so gender pay gaps are impacted by the location of our AOs who receive a spot rate. We have 49 AOs in total who are in scope for gender pay gap reporting (25 female, 24 male). In previous years the majority of male AOs were based in London on the higher spot rate, however the reduction in the gender pay gap at AO level is as a result of the fact that of 6 new appointments, 4 were males appointed Nationally on the National spot rate.
Proportion of male and female employees in each quartile: 31 March 2023 for DLUHC core
| Quartile | Female | Male | Total |
|---|---|---|---|
| Upper quartile | 51.1% | 48.9% | 100% |
| Upper middle quartile | 52.5% | 47.5% | 100% |
| Lower middle quartile | 51.0% | 49.0% | 100% |
| Lower quartile | 57.1% | 42.9% | 100% |
Last year we had a relatively even distribution of men and women in all quartiles. The same can be said for this year, with the exception of the lower quartile distribution which shows a higher proportion of women compared to men. Last year 55.7% of women were in the lower quartile, whereas this year this has increased to 57.1%. Last year 50.1% of females were in the upper quartile, this year this has increased to 51.1%. It is worth noting however that in 2021, 48.2% of women were in the upper quartile, with the upward shift in representation explained by the analysis of appointments by grade discussed above. These changes in the distribution of men and women in the quartiles explains the change in our gender pay gaps since the reporting exercise in 2022, especially the slight increase in the gender pay gap at the median statistic.
4. Analysis of the bonus gap for DLUHC Group
Bonus pay is included in all gender pay gap calculations and covers the Group. The data for bonus gender pay gaps for the core department includes a diverse mixture of vouchers and cash awards for delegated grades, and senior civil service (SCS) performance bonuses of between £3,000 and £12,000 depending on whether they are for in-year or end of year performance recognition. For the core department, the bonus schemes are funded from a non-consolidated performance pot of 0.65% of delegated paybill; whereas for SCS performance bonuses are funded from a performance pot of 3.3% in line with the Cabinet Office rules for all SCS. For the Planning Inspectorate in 2022/23, bonuses are limited to a very modest reward vouchers scheme.
For the core department, there have been no changes to the non-consolidated performance pot for delegated grades since 2016. The scheme is fully in-year and operates at directorate level. The terms of reference are clearly communicated, and local areas can award non-consolidated cash awards up to £1,000, as well as smaller scale instant reward vouchers up to £100 for exceptional performance. Human Resources audits the scheme annually, with analysis covering grade and all protected characteristics, not just gender. We report back to each Director General so that they can see the full equality analysis of their performance awards for the previous pay remit year.
As regard SCS performance bonuses, for 2022/23 women made up 53.5% of those in scope for a performance marking. A total of 54 SCS received an end of year bonus, with females representing 42.6% of those receiving an end of year bonus. A total 62 SCS received an in-year performance bonus, with females representing 48.4% of those receiving an in-year performance bonus.
At Group level, slightly more men (67.8%) received a bonus in the 12 months ending 31 March 2023 than women (67.2%), as shown in the figure 5 below. However, for the core department 1.1% more women received a bonus compared to men. For the core department the median bonus gap is –9.1% in favour of women, which has significantly decreased from last year when the median bonus gap was –25.0%, however the gap remains positive in favour of women. In addition to this, the mean gap has risen in favour of men; in 2022 the mean was -7.1% in favour of women, whereas this is now 2.4% in favour of men in 2023.
The bonus gender pay gap can change quite significantly from one year to the next, particularly at the median statistical measure, as there can by chance be quite a large variance between the bonus received by the female in the median position compared to the male. For example, if both the male and the female in the median position received a cash bonus award of £400, the bonus gender pay gap would be 0%; whereas if the female received £300 and the male £250, the reported bonus gap would be -20% as the difference is reported as a percentage of the male bonus. In this case it would be a bonus gender pay gap in favour of females.
Proportion of men and women in DLUHC Group paid a bonus during 2023
| Gender | % |
|---|---|
| Women | 67.2% |
| Men | 67.8% |
5. Targeted action to reduce and close the gender pay gap in the core department
Latest departmental context:
Since the reporting exercise in 2022, gender pay gaps in the core department have remained steady at 2.7% at the mean but increased by 0.6 percentage points to 6.5% at the median.
2023 saw the launch of a refreshed departmental Diversity & Inclusion Strategy and Action Plan with a renewed commitment to “Continue to monitor and address our widening gender pay gap over the next 2 years”
We now focus our representation ambitions on the Economically Active Populations of the regions in which we work and report progress quarterly to our people committee via a dashboard. In previous years we had a single Departmental target. A stronger focus on “Bring On” over the last year has successfully resulted in a plateau in the overall representation of women in DLUHC at 53%, significantly above the 50% gender parity value target set in our previous (2021) Diversity & Inclusion strategy and above the rate in the economically active population.
This stronger focus has also supported an increase in representation of women at Director level from 51% to 55%. This is the most senior grade group we can analyse representation at due to data suppression limits and has resulted in this representation growing to 2 percentage points above DLUHC average representation.
Bring in actions:
- our practices include the continuation of blind recruitment to remove bias in early recruitment stages for both internal and external exercises at the delegated grades
- gender balanced panels are mandated for both internal and external recruitment
Bring on actions:
- blind recruitment and gender balanced panels as described above are also used for internal recruitment
- in this reporting period we have supported 23 women on Crossing Thresholds: a 12-month career mentoring programme for women to develop their career aimed at entry level to senior manager grades. We are providing ongoing support to all the woman in the cohort
- we have also funded places for and are providing ongoing support for staff on “Executive Presence for Women applied level” and “Women into Leadership” development programmes
- we are committed to achieving gender parity over the next 2 years on our flagship development programmes Future Leaders Scheme (FLS), Senior Leaders Scheme (SLS) and Interdepartmental Talent Partnership (ITP), in addition to building an internal network for participants
Accountability:
The Departmental People Committee is an Executive Team subcommittee with delegated authority on our People Matters including responsibility for reviewing progress of our Diversity & Inclusion strategy and gender pay gap report actions. Our Diversity Board (People Subcommittee) continues to meet bimonthly with a refreshed terms of reference including responsibility for holding DLUHC to account through monitoring the delivery of and progress towards specific targets in the DLUHC Diversity & Inclusion Strategy 2023-25.
We are committed to transparency and accountability to all staff, as part of this we internally publish D&I data quarterly, D&I analysis of HR Process data as relevant and this gender pay gap report, including analysis of gender pay gaps on a grade-by-grade basis including those at SCS level.
These commitments that look to narrow the gap in core DLUHC have also been set out in a refresh of our Diversity & Inclusion strategy 2023-25 launched earlier this year.
6. Declaration
We confirm that data reported by the Department for Levelling Up, Housing and Communities (DLUHC) is accurate and has been calculated according to the requirements and methodology set out in the Equality Act 2010 (Specific Duties and Public Authorities) Regulations 2017.
Name/job title of Signature:
Matt Thurstan, Chief Financial Officer
7. Annex A – The Planning Inspectorate
The Planning Inspectorate is an Executive Agency of the Department for Levelling Up, Housing and Communities (DLUHC) and their gender pay gap data is included in the data for the Group, as compiled by the Cabinet Office as part of the Annual Civil Service Employment Statistics (ACSES). Gender pay gaps for the Planning Inspectorate are 14.7% at the mean for 2023 and 14.6% at the median. The gap at the mean has increased from 11.8% in 2022, whereas the median gap has decreased from 26.9%.
The Planning Inspectorate has 2 distinct groups of staff: professional support staff and Planning Inspectors, approximately a 50/50 split. Planning Inspectors are qualified professionals who are recruited from senior positions within local government, consultancies, and the legal profession, which are largely male dominated professions. As a result, gender pay gaps at the Planning Inspectorate are structural because a large proportion of senior planning inspectors are men. However, the Planning Inspectorate has previously taken active steps to recruit more female Planning Inspectors and have seen an increasing number of females applying for planning inspector roles, which have previously been dominated by males. In recent recruitment campaigns, the Planning Inspectorate have successfully recruited a better balance of male and female inspectors.
Whilst there continues to be a greater male representation in the Planning Inspector group, the increase in the gender pay gap at the mean appears to be driven by changes in the support staff group. For example, there is a lower percentage (42%) of female staff at the higher grades in the professional support staff group compared to 2022 (55%). All other grade groups have seen an increase in female representation. Movement in and out of the Planning Inspectorate has also had an impact on gender pay gaps. For example, the average pay for males joining the organisation was higher than the average for those leaving the organisation, while the opposite is true for the average pay of females. However, the total numbers of staff joining and leaving the Planning Inspectorate are small and therefore averages can be influenced by a small number of anomalies. The drop in the gap at the median is a result of a higher proportion of females occupying B1 and B2 inspector roles compared to 2022, but the gap remains in favour of men because the inspector role continues to have a greater overall male representation, and the administrative roles at the junior grades continue to have a greater female representation.