Fact Service August 2013

Issue 33

Equality in pay and benefits

The public sector wins hands down when it comes to equal benefits, according to research by the Chartered Institute of Personnel and Development (CIPD).

Almost two-thirds (63%) of respondents in the public sector provide employees with equal benefits, compared with 40% of respondents in the private sector.

The CIPD’s Labour market outlook for summer 2013, which surveyed 1,034 private and public sector employers, found that just 7% of respondents do not offer any benefits to staff other than pay.

In the private sector, just over a quarter of respondents (28%) offer a more generous benefits package to senior managers, compared with 17% in the public sector.

In terms of how pay increases are differentiated across employees, 44% of respondents said that all employees received the same percentage basic pay and total pay increase.

For increases in total pay, respondents in the voluntary and not-for-profit sector (72%) and the public sector (59%) were more likely to report that all employees received the same percentage increase.

Within the private sector, 38% of respondents reported equality in total pay increases. Similarly, equality in basic pay increases was more likely to be the case in the public sector (49%) than the private sector (40%), and it applied for the majority of respondents in the voluntary and not-for-profit sector (68%).

www.employeebenefits.co.uk/benefits/pay-/-bonus-and-reward/benefits-and-pay-equality-more-common-in-the-public-sector/102782.article