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End Salary History – And Why It is Key To Closing the Gender Pay Gap

  • 2nd May 2021
  • Elizabeth Willetts
  • 2 mins read
End Salary History – And Why It is Key To Closing the Gender Pay Gap featured image

I’ve been delighted to work with the Fawcett Society East London on their #endsalaryhistory campaign.

As a recruiter, I can attest that the question of “What was your most recent salary?” is a common one many candidates face during a job interview.

Why do Recruiters ask this question, and what is the problem?

Recruiters want to know your current or previous salary as they use this data to measure your level of experience, value, and expectations. They then consider this information when deciding which roles to put you forward for and what salary to offer at the hiring stage.

As the Fawcett Society East London rightly points out, the ONS reports that the gender pay gap for all employees is 15.5%. For full-time employees, it is 7.4%.

So, by asking about your salary history, female candidates (and candidates who have emigrated here from a country with an unfavourable exchange rate) are automatically disadvantaged.

Ultimately, this question disadvantages all candidates. Employers could be tempted to offer their job to the ‘cheapest candidate’. Real-time salaries and productivity have stalled in the UK since 2007.   Is the question “What was your most recent salary?” preventing us all from getting a pay rise?

Nervous woman at interview

Fawcett Society East London backs up this finding. They state that there is evidence to suggest it’s not just women who benefit when this is the case. A study last year by Boston scholars found that, in states where the ban was implemented, there were pay increases for job changes of about 5% for all workers, 8% for female workers and 13% for Black workers.

The Young Women’s Trust has said that employers that ask candidates for their current salary are partly to blame for the gender pay gap. Basing a new job offer on a previous salary perpetuates the gender pay gap cycle.

How can employers help?

Investing in Women is proud to support Fawcett Society East London‘s #endsalaryhistory campaign.

We believe the salary offered to candidates should reflect the market rate, role responsibilities and previous experience. Not your previous salary.

Our job board and recruitment site are proud not to ask candidates about their salary history. We also encourage employers and recruitment agencies using our site to stop asking this question to help reduce the gender pay gap.