The Ethnicity Pay Gap

There are 2435 employees included in the analysis, noting a high disclosure rate of 99% for ethnicity data used. The ethnicity data of students working through the Student Employment Agency is not collected.

Table 6 shows a mean ethnicity pay gap of -4.5% and a median of -9.2%. The negative percentage show that the average hourly pay of ethnic minority employees at the University is higher than that of employees who are ethnically white.

Since the University began monitoring its ethnicity pay gap information, it has consistently reported a negative pay gap for its ethnic minority employees. The University first reported its ethnicity pay gap in 2020, with a mean of -1.17% and a median of -5.27%. Work taking place in support of the Race Equality Charter ensures that the career pipeline of our ethnic minority employees remains an institutional priority.

Table 6: Ethnicity Pay Gap, 2020-2022

Across the UK, the ethnicity pay gap has been steadily narrowing each year and in the East Midland, the gap is 6.9% (ONS, 2023). The University compares well when externally benchmarked and suggests that the work being undertaken to support the career pipeline of its ethnic minority employees is having an impact.

Bonus Payments by Ethnicity

People who are ethnically white (3.73%) are paid more bonus payments than employees who are from ethnic minorities (1.3%).

Table 7 shows the proportion of bonus payments made by ethnicity. There are 84 people who are ethnically white people who received a bonus, which is higher in comparison to 4 employees who identify with all ethnic minority groups.

Table 7: Proportions of Bonus Payments by Ethnicity, 2022

While fewer employees who identify with an ethnic minority received a bonus, table 8 shows a mean bonus payment of -2.0%. This means that employees from all ethnic minority groups in receipt of a bonus had a higher payment than employees who are ethnically white.

Table 8: Mean and Median Bonus Payments by Ethnicity, 2022

Hourly Pay

Table 9 shows that the average hourly pay of all employees has increased since 2021.

The mean and median hourly pay for ethnic minority employees is higher than for ethnically white employees, except for people who identify with a mixed ethnicity, who are paid slightly below the average. Distribution of ethnicity through the pay quartiles shows a slightly higher percentage of all ethnic minority groups working in Quartile 1 and Quartile 2. Through the Race Equality Charter, the University provides opportunities for its employees to grow and develop and recognises the time it takes to develop expertise.

Table 9: Average Hourly Pay Rates by Ethnicity, 2022

2021

2022

Pay Quartiles by Ethnicity

While the University employs more people who identify as ethnically white, table 10 illustrates that there is representation of employees from all ethnic minority groups across all four pay quartiles.

In Quartile 4 (highest paid), 10% of occupants identify with an ethnic minority group. Specifically, of the 10%, 4% identify as Asian, making this the biggest minority ethnic group in the highest paid quartile.

When compared with the previous year (2021), the quartile distribution is almost identical, notwithstanding a slight overall increase in the University’s ethnic minority headcount (University of Derby annual Equality, Diversity, Inclusion Report, 2022).

Table 10: Pay Quartiles by Ethnicity, 2022

2022

2021