Equal pay law: An employee’s guide
Equal pay is important when it comes to promoting fairness and equity in the workplace. This guide focuses on equal pay for men and women as set out in the Equality Act 2010 (replacing the earlier Equal Pay Act). It aims to provide you with a basic understanding of what equal pay means in the UK workplace, how it is enforced, and what steps you can take if you believe you are being paid less for doing the same or similar role, because of your sex.
For the purposes of this guide, the term ‘sex’ is understood as binary, being a man or a woman, and relates to the biological sex as recorded on their birth certificate.
What is equal pay?
Equal pay refers to the equal pay rules in the Equality Act 2010 that require employers to compensate men and women equally for performing the same or similar work.
This covers all forms of compensation including: basic salary, overtime, bonuses, performance-related benefits and pension contributions.
The equal pay rules automatically add a ‘sex equality clause’ to every individual’s employment contract to ensure that pay and conditions are equal for men and women. So if a woman is performing the same or similar work, but a man is being paid more than the women for that work, then the employer is breaking the law.
The equal pay provisions in the Equality Act apply where any pay disparity is attributable to your sex. They don’t presently apply to other characteristics which are protected against discrimination by the Act, including for example, race, disability or sexual orientation.
If you wanted to make a claim for pay disparity because of any protected characteristic apart from sex, you would have to bring a discrimination claim based on your protected characteristic.
The significance of equal pay
Equal pay is important in modern workplaces for a variety of reasons. In particular, it helps:
1] To promote gender equality
Equal pay helps to reduce the gender pay gap which is still prevalent across various sectors in the UK, such as in Finance and insurance, Childcare and social care, and the Public sector.
See the Office for National Statistics (ONS) Gender Pay Gap Data for further detail.
Efforts to close pay gaps in the UK include: making pay structures more transparent; providing better legal support for families to share care responsibilities; and requiring smaller companies to report on their gender pay gaps.
There are also plans to include reporting on pay differences for other groups, such as people of different ethnic backgrounds and those with disabilities.
2] To ensure fair treatment and better staff retention
Equal pay supports a fair working environment where employees are paid based on their role and performance rather than on their sex. Such an environment helps lead to higher employee morale, better teamwork, and improved staff retention. When employees feel they are treated fairly and equally, they are more likely to stay motivated and loyal to the company.
3] To facilitate legal compliance amongst employers
Equal pay helps businesses comply with UK employment laws – and specifically with the Equality Act 2010 – which requires that men and women receive equal pay for equal work. By ensuring employees are paid fairly and equally, businesses reduce the risk of legal claims for unequal treatment or pay discrimination.
Failure to provide equal pay can lead to tribunal claims, fines, and reputational damage. Complying with equal pay laws not only avoids these consequences but also demonstrates a commitment to fairness, helping businesses meet their legal obligations and maintain a lawful and transparent pay structure.
Does your work merit equal pay?
In order to assess whether your work is the same or similar as someone else’s and should therefore be rewarded equally, consider whether you are performing ‘like work’, ‘work rated as equivalent’ or ‘work of equal value’ as that being undertaken by someone of the opposite sex.
Like work
‘Like work’ refers to jobs that are either the same or very similar. If you and a person of the opposite sex are doing the same tasks, using the same or very similar skills, and your job titles might as well be interchangeable, then your work is classified as like work.
Example of like work: A female cashier and a male cashier in the same store perform like work.
Work rated as equivalent
‘Work rated as equivalent’ is where the roles compared relate specifically to jobs in the same organisation. The roles are different in nature but are found to require similar levels of effort, skill, responsibility, or decision-making.
To find out whether or not an individual’s work can be rated as equivalent to someone else’s, an internal evaluation is carried out through a formal job evaluation scheme, which is a structured and objective process.
An organisation carrying out a formal job evaluation might use specific criteria (like a points system) to assess and compare the demands of different jobs within the same organisation. The evaluation directly rates the roles as being equivalent or not.
Example of work rated as equivalent: A male technician and a female supervisor at the same company might perform different tasks, but after a formal job evaluation, they are rated as equivalent because the level of skill, effort, and responsibility required for each role is assessed as being the same.
Work of equal value
An assessment of whether work is of ‘equal value’ is a broader and often less formal comparison than that used to determine whether work is rated as equivalent. The jobs being compared can be in different sectors, different companies, or different industries, and are judged on whether the overall demands (such as effort, skill, and responsibility) are the same or similar.
The assessment It can be determined through examining legal claims or broader assessments, rather than by way of a structured job evaluation process. The comparison looks at the overall demands of the jobs based on factors like effort, skill, and responsibility, even if the roles don’t undergo a formal internal rating process.
Example of work of equal value: A female nurse and a male engineer perform very different jobs, but a comparison might show that the overall level of skill, effort, and decision-making required for each job is comparable, and therefore judged to be work of equal value, even though there hasn’t been a structured job evaluation process.
Making an employment tribunal claim for equal pay
The Equality Act 2010 establishes a specific legal framework for equal pay claims based on your sex. If you can show that you are being paid less than someone of the opposite sex for the same or similar work, then you may have a claim for lost earnings (amongst other things). Lost earnings would be the difference between your pay and that of your higher paid comparator (the individual whose role yours is being compared with – see below). If you can prove your case, you could claim for earnings lost over a period of up to six years.
Time limits for making equal pay claims
There are specific time limits within which you have to submit your claim to an employment tribunal, as outlined in our our guide on time limits.
Equal pay claims based on sex:
The time limit for making equal pay claims based on sex is typically six months less one day from the date of the alleged discriminatory pay practice. This means the time limit generally begins on the date of the last instance of unequal pay or, if you are claiming for a continuous breach, from the date when you last received the unequal payment. It is essential to consult with an employment law expert to determine the precise start date based on your individual circumstances.
Equal pay claims based on protected characteristics other than sex:
For equal pay claims based on other protected characteristics, such as your race, sexual orientation, age or disability, the time limit is usually three months less one day. This period starts from the date you first became aware of the pay discrepancy. In such cases as these, it’s also essential to confirm the start date with a legal professional, as the circumstances surrounding your awareness of the discrepancy may vary.
How to identify pay discrepancies
In order to bring a claim for equal pay, you have to show that there is a pay discrepancy between your pay and someone else’s, because of your sex. This can be difficult, depending on what access you have to data relating to other people’s jobs. However, it can be done providing that you can:
Identify a ‘comparator’
Find someone of the opposite sex in your organisation doing like work, work rated as equivalent, or work of equal value (see above).
Gather evidence to support your case
Collect evidence which supports your assertion that you’re being paid less for doing the same or similar role, such as relevant job descriptions, payroll data, performance reviews, job adverts and any other documentation that can substantiate a claim of unequal pay. (See also ‘Documenting your equal pay claim’ below.)
Conduct comparisons
Assess the demands, responsibilities, skills required, and conditions of your job versus the job of your comparator.
Documenting your equal pay claim
To prepare for an equal pay claim:
Collect detailed records: Maintain comprehensive records of all payments and benefits.
Document job roles: Keep detailed job descriptions and any changes in your job role.
Collect evidence of comparisons: Collect any official communications regarding pay scales and job evaluations.
How to challenge pay inequality
If you suspect that you are not being paid equally, and after you have collected the evidence outlined above, take the steps outlined below. Here we suggest that you seek external advice before you raise a formal grievance, although in practice that would depend on whether or not you wanted to stay employed with your current employer, and on the initial reactions of your employer when you first raise the equal pay issue informally with them.
1] Initiate informal internal discussion: Start by discussing your concerns informally with your manager or HR department.
2] Seek external advice: Seek advice from your professional body if you have one, or a specialist firm of employment law experts such as Monaco Solicitors. They may be able to help you negotiate a settlement with your employer without going to court.
3] Raise a formal grievance: If informal discussions don’t resolve the issue, you may consider submitting a formal grievance. Follow your company’s grievance procedure or if they don’t have one, this grievance procedure. Also see our main guide on grievances for more about when to submit a grievance.)
4] Make an employment tribunal claim. If none of the above results in a favourable outcome for you, you may have to make a tribunal claim. So familiarise yourself with the workings of employment tribunals, so that you’re ready to proceed with a tribunal claim if/when you need to.
Landmark legal cases about equal pay
If you want to explore some key legal cases that have shaped the enforcement of equal pay laws in the UK, you might like to have a look at the various reports online about the following landmark cases:
Leigh Day v Asda Stores Ltd (2014 to 2024 ongoing): A significant case where female employees in retail positions challenge their pay compared to male employees in warehouse roles.
North v Dumfries and Galloway Council (2013): This case highlighted issues related to equal pay claims involving employees working at different locations.
What next?
Try using our Do I Have a Case tool here to check out whether or not you appear to have a valid legal case.
If you think you may have a case for equal pay and would like legal help and advice to progress it, get in touch with Monaco Solicitors. We are well-established experts in employment law, and specialise only in representing employees. We look forward to hearing from you.
Contact us:
Via this website link,
By phone us on 020 7717 5259 or
By email: communications@monacosolicitors.co.uk