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Opportunities knocked?
Tackling racial disadvantages and discrimination in
the workplace
1
Kathleen Henehan, Research and Policy Analyst, Resolution
Foundation
David Lammy, MP forTottenham and Chair of the Race and
CommunityAPPG
Zubaida Haque, Deputy Director,The RunnymedeTrust
Torsten Bell, Resolution Foundation (Chair)
July 2018
@resfoundation ##paypenalty
Wifi: 2QAG_guest password: W3lc0m3!!
Opportunities knocked?
Tackling racial disadvantages and discrimination
in the workplace
Kathleen Henehan
July 2018
2
There is some good news on education
3
Starting with
education: the
proportion of
working-age adults
with degrees has
grown rapidly over
the past two
decades
Men and women
from ethnic
minorities have
made the most
progress, now
topping the charts
…there is also good news on employment
4
Employment is up
substantially
among men from
ethnic minority
backgrounds
While Indian men
overtook white
men, employment
also grew 24 and
30 per cent among
Black and
Pakistani/
Bangladeshi men
Job done? Not quite.
5
Despite there being
overall pay growth
over recent
decades,
significant pay gaps
persist
Average hourly pay
among white
women and black
men is 2o per cent
below that of white
men
This is particularly
worrying given
growth in
educational
attainment
Job done? Not quite.
6
Despite there being
overall pay growth
over recent
decades,
significant pay gaps
persist
Average hourly pay
among white
women and black
men is 2o per cent
below that of white
men
This is particularly
worrying given
growth in
educational
attainment
Job done? Not quite.
7
Despite there being
overall pay growth
over recent
decades,
significant pay gaps
persist
Average hourly pay
among white
women and black
men is 2o per cent
below that of white
men
This is particularly
worrying given
growth in
educational
attainment
Job done? Not quite.
8
Despite there being
overall pay growth
over recent
decades,
significant pay gaps
persist
Average hourly pay
among white
women and black
men is 2o per cent
below that of white
men
This is particularly
worrying given
growth in
educational
attainment
Some pay gaps might down to observable
characteristics
9
For instance, age
Overall, ethnic
minority groups
tend to have much
younger age-
profile than white
men and women
These age
differences factor
into employment
rates and they can
depress levels of
pay among
younger groups
Some pay gaps might down to observable
characteristics
10
Also, occupation.
A plurality of Indian
and white men and
women are in
higher-skilled,
higher-paid roles
(blue)
However, a large
proportion of black
and Pakistani/
Bangladeshi
workers find
themselves in mid
(purple) and lower
(red) paid work
Some pay gaps might down to observable
characteristics
11
Also, occupation.
A plurality of Indian
and white men and
women are in
higher-skilled,
higher-paid roles
(blue)
However, a large
proportion of black
and Pakistani/
Bangladeshi
workers find
themselves in mid
(purple) and lower
(red) paid work
Some pay gaps might down to observable
characteristics
12
Also, occupation.
A plurality of Indian
and white men and
women are in
higher-skilled,
higher-paid roles
(blue)
However, a large
proportion of black
and Pakistani/
Bangladeshi
workers find
themselves in mid
(purple) and lower
(red) paid work
But big pay penalties remain after we’ve put those
characteristics aside
13
Even after
accounting for
where a region,
qualifications and
occupation, large
penalties between
white and ethnic
minority men
persist
All things being
equal, a black
graduate man
could expect to
earn 17 per cent
less an hour than a
white graduate
man
But big pay penalties remain after we’ve put those
characteristics aside
14
Even after
accounting for
where a region,
qualifications and
occupation, large
penalties between
white and ethnic
minority men
persist
All things being
equal, a black
graduate man
could expect to
earn 17 per cent
less an hour than a
white graduate
man
They tend to be smaller among women, but stubborn
over time
15
Pay penalties are
smaller among
women, but do still
exist
All things being
equal a Pakistani/
Bangladeshi non-
graduate could
expect to be paid
five per cent less an
hour than white
women
Worryingly, for all
graduates and for
most groups, these
penalties haven’t
shifted over time
Overall, a worrying picture
• There’s been significant progress on education and
employment among ethnic minority groups in recent
decades
• Yet this hasn’t resulted in pay gaps closing
• Smaller, but still big, pay penalties for ethnic
minorities remain even after accounting observable
differences between workers…
• …which means policymakers’ focus shouldn’t be
limited to the further equalisation of opportunities
like education but also on disadvantage and
discrimination
16
Opportunities knocked?
Tackling racial disadvantages and discrimination
in the workplace
Kathleen Henehan
July 2018
17

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Opportunities knocked? Tackling racial disadvantages and discrimination in the workplace

  • 1. Opportunities knocked? Tackling racial disadvantages and discrimination in the workplace 1 Kathleen Henehan, Research and Policy Analyst, Resolution Foundation David Lammy, MP forTottenham and Chair of the Race and CommunityAPPG Zubaida Haque, Deputy Director,The RunnymedeTrust Torsten Bell, Resolution Foundation (Chair) July 2018 @resfoundation ##paypenalty Wifi: 2QAG_guest password: W3lc0m3!!
  • 2. Opportunities knocked? Tackling racial disadvantages and discrimination in the workplace Kathleen Henehan July 2018 2
  • 3. There is some good news on education 3 Starting with education: the proportion of working-age adults with degrees has grown rapidly over the past two decades Men and women from ethnic minorities have made the most progress, now topping the charts
  • 4. …there is also good news on employment 4 Employment is up substantially among men from ethnic minority backgrounds While Indian men overtook white men, employment also grew 24 and 30 per cent among Black and Pakistani/ Bangladeshi men
  • 5. Job done? Not quite. 5 Despite there being overall pay growth over recent decades, significant pay gaps persist Average hourly pay among white women and black men is 2o per cent below that of white men This is particularly worrying given growth in educational attainment
  • 6. Job done? Not quite. 6 Despite there being overall pay growth over recent decades, significant pay gaps persist Average hourly pay among white women and black men is 2o per cent below that of white men This is particularly worrying given growth in educational attainment
  • 7. Job done? Not quite. 7 Despite there being overall pay growth over recent decades, significant pay gaps persist Average hourly pay among white women and black men is 2o per cent below that of white men This is particularly worrying given growth in educational attainment
  • 8. Job done? Not quite. 8 Despite there being overall pay growth over recent decades, significant pay gaps persist Average hourly pay among white women and black men is 2o per cent below that of white men This is particularly worrying given growth in educational attainment
  • 9. Some pay gaps might down to observable characteristics 9 For instance, age Overall, ethnic minority groups tend to have much younger age- profile than white men and women These age differences factor into employment rates and they can depress levels of pay among younger groups
  • 10. Some pay gaps might down to observable characteristics 10 Also, occupation. A plurality of Indian and white men and women are in higher-skilled, higher-paid roles (blue) However, a large proportion of black and Pakistani/ Bangladeshi workers find themselves in mid (purple) and lower (red) paid work
  • 11. Some pay gaps might down to observable characteristics 11 Also, occupation. A plurality of Indian and white men and women are in higher-skilled, higher-paid roles (blue) However, a large proportion of black and Pakistani/ Bangladeshi workers find themselves in mid (purple) and lower (red) paid work
  • 12. Some pay gaps might down to observable characteristics 12 Also, occupation. A plurality of Indian and white men and women are in higher-skilled, higher-paid roles (blue) However, a large proportion of black and Pakistani/ Bangladeshi workers find themselves in mid (purple) and lower (red) paid work
  • 13. But big pay penalties remain after we’ve put those characteristics aside 13 Even after accounting for where a region, qualifications and occupation, large penalties between white and ethnic minority men persist All things being equal, a black graduate man could expect to earn 17 per cent less an hour than a white graduate man
  • 14. But big pay penalties remain after we’ve put those characteristics aside 14 Even after accounting for where a region, qualifications and occupation, large penalties between white and ethnic minority men persist All things being equal, a black graduate man could expect to earn 17 per cent less an hour than a white graduate man
  • 15. They tend to be smaller among women, but stubborn over time 15 Pay penalties are smaller among women, but do still exist All things being equal a Pakistani/ Bangladeshi non- graduate could expect to be paid five per cent less an hour than white women Worryingly, for all graduates and for most groups, these penalties haven’t shifted over time
  • 16. Overall, a worrying picture • There’s been significant progress on education and employment among ethnic minority groups in recent decades • Yet this hasn’t resulted in pay gaps closing • Smaller, but still big, pay penalties for ethnic minorities remain even after accounting observable differences between workers… • …which means policymakers’ focus shouldn’t be limited to the further equalisation of opportunities like education but also on disadvantage and discrimination 16
  • 17. Opportunities knocked? Tackling racial disadvantages and discrimination in the workplace Kathleen Henehan July 2018 17