Gender Pay Gap Report 2017

Electrolux PLC Gender Pay Gap report 2017

At Electrolux our purpose is to shape living for the better. Innovation and sustainability is at the heart of what we do to create better experiences for our customers, partners and employees.

We therefore fully embrace the new gender pay gap regulations requiring all UK organisations employing 250 people or more to publish statutory calculations showing the pay gap between male and female employees.

Our median pay gap is 18.9%. This reflects that we employ more men (58% of our employees are men) and we have more of them in higher paid roles. Our median gender pay gap is similar to the national average of 18.4%, but we aren’t complacent and realise that we have work to do to close our pay gap and help women progress.

 Electrolux is a leading global appliance company. The headquarters are located in Stockholm, Sweden, and the Electrolux share is listed on the exchange Nasdaq Stockholm. Through our brands, including Electrolux, AEG, Anova, Frigidaire, Westinghouse and Zanussi, we sell more than 60 million household and professional products in more than 150 markets every year. Our UK Electrolux PLC data includes a significant group of international employees who work at Electrolux Group level and not in the UK organisation who also receive additional allowances. This group is predominately male (78%). When excluded from the calculations, our median gender pay gap reduces to 9% and our median bonus gap to 14%.  However we recognise that we still have a gap in our UK business and work to do to close it.

Our success is driven by our ability to inspire and contribute to change, and to always improve.  We recognise that having a more diverse workforce will enhance our business for our employees and our customers. We will take this opportunity to ask the hard questions to find out more about the barriers to women progressing within our organisation and we will make things happen to drive sustainable change. This will take time and we are committed to attracting, recruiting, developing, and retaining excellent talents with diverse backgrounds and close our pay gap.

 

Key data

% male/female employees                                  58% male

                                                                           42% female

Median gender pay gap                                     18.9%

Mean gender pay gap                                        26.2%

Median bonus pay gap                                      46.4%

Mean bonus pay gap                                         56.1% 

% males/females receiving a bonus payment     95.6% males

                                                                           94.7% females

Upper quartile (male/female %)                          72.6% male

                                                                           27.4% female

Upper middle quartile (male/female %)               55.3% male

                                                                           44.7% female

Lower middle quartile (male/female %)               63.5% male

                                                                           36.5% female

Lower quartile (male/female %)                           42.4% male

                                                                           57.6% female

 

Gender pay gap

• The gender pay gap shows the difference in average pay between women and men. It does not measure equal pay, which relates to what women and men are paid for the same or similar jobs or work of equal value.

Mean and median gender pay gap

• The mean gender pay gap is the difference in average hourly rates of pay for all men and all women, expressed as a percentage of the average hourly rate for men.
• The median gender pay gap shows the difference between the median (middle) value of hourly pay rates (when ordered from lowest to highest) for all men in an organisation, and all women, expressed as a percentage of the median hourly rate for men. This is the widely used government measure.

Mean and median bonus pay gap

• The mean gender bonus gap is the difference between the average bonuses received by men and by women, expressed as a percentage of the average bonus for men.
• The median gender bonus gap is the difference between the median (middle) value of bonuses (when ordered from lowest to highest) received by men and by women, expressed as a percentage of the average bonus for men.

Why do we have a gap?

The principal reasons for our gender pay gap are:

• we have a higher proportion of men in the workforce
• we have fewer women than men in our senior and management roles
• our senior international group are mainly men

Our pay gap reflects that as a business we tend to attract more men. More women than men are employed in support or customer service roles, while more men than women are employed in technical or managerial roles. This is generally reflective of our sector and societal norms and shows us that we need to do more to break down barriers.

 If we do this our gender pay gap will close.

The proportion of men and women receiving bonuses is equitable. Our bonus gap is driven by men in senior positions who receive bonus and long term incentives.

What action are we taking?

The Electrolux group is committed to making a positive difference for women in the workplace. This year the group set a target to have 35% women in senior-level positions by 2020.

As part of our drive to continuously improve the number of female leaders at Electrolux we will:

• Conduct gender pay analysis to understand what is behind our headline figures so that we can develop a focused action plan
• Review our HR policies and procedures to ensure they are inclusive both in principle and practice
• Look at our recruitment practices and continue to actively seek female applicants for every position across the organisation
• Review and raise the focus of flexible working

 

As Head UK & Ireland, Electrolux Major Appliances, and HRBP for Major Appliances for Electrolux PLC, we are authorised to confirm that the information published in this report, in accordance with regulation 2 of The Equality Act 2010 (Gender Pay Gap Information) Regulations 2017 is correct.”

 

                                                        

Peter Spencer                                                             Elizabeth Hawkes

Head of UK & Ireland,                                                HR Business Partner

Electrolux Major Appliances                                      Electrolux Major Appliances