Fostering Workplace Equality: From Inequity to Fair Compensation

GapSquare CEO Dr. Zara Nanu forecasts that achieving pay parity between men and women will require approximately 200 years. During her address at the GamesIndustry.biz HR Summit, Dr. Nanu acknowledged the systemic nature of pay scale disparities but emphasized that progress, albeit slow, is being made. "The advancements we've discussed today, facilitated by technology, have accelerated significantly over the past two decades. However, it's essential to remember that just a century ago, women required their husbands' permission to work," she noted. Nanu highlighted that nearly seven years ago, the UK government introduced legislation mandating businesses with 250 or more employees to publish annual reports on gender pay gaps. These reports have not only shed light on the broader gender pay gap but also on its specific implications within the gaming industry. She continued, "Typically, pay gaps expose underlying organizational issues, such as disparities in leadership roles and occupations between men and women, and career progression. Pay gaps are an organizational issue, not a personal one; equal pay, however, is about individual fairness. "The question is whether individuals performing equally valuable work receive the same compensation across the organization. The equal pay agenda is intriguing because it continuously evolves." Dr. Nanu described fair pay as a multifaceted concept. "It encompasses transparency, average gaps, equal pay, pay equity, and how fairly individuals are compensated relative to their region's living standards. Does their income meet the minimum living standard? Is it a fair wage? A living wage? How does it compare to the escalating cost of living?" Nanu pointed out that the pay gap in the UK games industry is 17% higher than the national average. She referenced lawsuits and allegations against Niantic, Riot Games, and Activision Blizzard to underscore the importance of pay transparency in addressing gendered discrimination. Nanu stated, "It's crucial to highlight these examples because they illustrate why closing the gender pay gap will be a protracted process. The slow progress we're making is causing the target of closing pay gaps and fostering workplace equality to recede further. "There is positive news – and I've been working in this space for the past eight years – which is that technology can facilitate more targeted decisions and address the heart of the problem." Nanu explained that there are methods to mitigate and flatten pay disparities. One such method is the utilization of data and analytics. "Data and analytics can provide deeper insights and enable more targeted actions. In the UK, we're becoming accustomed to averages and understanding the mean and median gender pay gaps. However, you cannot treat all patients in a hospital based on the average temperature; you need to delve into your data to understand the key insights that can help focus actions. "Data holds the key to understanding where targeted actions can yield results." The GapSquare CEO also explained that data and analytics present opportunities to reassess a company's code of conduct, recruitment strategies, and bonus structures. Another method Nanu proposed to close the pay gap is open communication. "We conducted a survey earlier this year with our executive network and interviewed 1,000 senior human resources and HR managers worldwide. These managers expressed their commitment to pay equity and transparency. "However, when we interviewed the employees of the same companies, they believed their company did not prioritize pay equity and transparency. This disparity highlights a communication gap." She explained, "Most UK organizations have pay gaps, which is acceptable as long as they understand the reasons behind them, how they can be narrowed, and how they are communicated to employees." Nanu emphasized the importance of inclusive leadership. "Leadership offers an opportunity to build a fairer future of work. Now that we understand the data, the impact, and the positive effects of involving diverse communities in our workplaces, inclusive leadership can help us move towards a fairer future."