Note:
We provide the Gender pay gap report to support you with compliance. It’s not intended to replace independent legal review of your gender pay report under local law.

This article explains how to report on gender pay gap compliance at your company. You can create the report using our dedicated template in the Analytics area. This report includes automated calculations for gender pay data according to EU directive requirements.

The Gender pay gap report helps you to:

• Meet legal reporting obligations
• Analyze compensation equity across your company
• Build strategies from the data

If you want to report on employees’ contracted salary, tenure, and salary bands, use the Employee salary bands template instead.

Before you start

Anyone with an Administrator role can create a gender pay gap report.

You can also allow other employees to create the report through their employee role. Make sure to grant access to the relevant employee attribute data, especially People data > Salary information.

Understand the data and calculations used in the template

You can find the Gender pay gap report in the Analytics area. This section explains what data Personio uses in the report. We also cover EU-specific requirements and calculation metrics.

Employee data

The Gender pay gap report:

• Uses compensation data from the Salary tab of the employee profile to calculate metrics. It doesn’t use data from the Payroll or Compensation apps. Therefore, it's important to ensure the Salary tab of each employee profile contains the correct information.
  • Doesn’t consider compensation data from custom attributes. However, you can filter by them.
  • Only allows you to segment by preset compensation attributes.
• Includes active and on-leave employees who were active at any point during the selected timeframe. It excludes inactive employees.
• Identifies pay gap calculations for male vs. female gender categories. This is based on the Gender employee attribute. You can use other gender options as a filter.

EU and country-specific requirements

Under EU directive, you need to report on gender pay gap compliance if your company has over 100 employees. You also need to report on a country-by-country basis, as regulations vary by country.

To simplify this process, the Gender pay gap report includes automated calculations based on EU directive requirements. You can also break your report down by country. This is particularly useful if your company has employees based in multiple countries.  

Note the following points:

• Country is based on the Workplace attribute. You define your workplaces under Settings > Organization > Workplaces. Make sure to add your workplaces and assign all relevant employees to them.
• If you have between 5 and 100 employees in a specific country, you can still create a gender pay gap report. However, you’re not legally required to report on it under EU directive.
• If you have fewer than 5 employees of either gender in a specific country, you can’t create a report for that country. This is because there isn’t enough data to provide a comparison. 

If your company isn't in the EU, you can decide whether the report is relevant for your country. You can also focus on the pay information that matches your local needs.

Calculations

Click Average / Hourly at the top of the report to adjust how the report is calculated.

• Aggregation method: You can calculate by average (mean) or by median (mid-value). 
• Compensation basis: You can choose hourly or yearly. 

Note the following points:

• The report calculates hourly wage as “gross annual pay divided by annual worked hours,” as per the EU directive.
• The report uses Gross salary FTE (annualized to a full year) if you choose yearly calculation, but Prorated gross salary if you choose hourly.
• For hourly workers, it considers actual hours worked over the last 12 months.
• If an employee only works part of the year, it calculates hours from the point of hire.
• Gross annual pay includes salary, one-time compensations, recurring compensations, and bonuses. Note that it doesn’t yet include 13th/14th salaries and additional pay components.

Create a gender pay gap report

To create a gender pay gap report, follow these steps:

1. Go to Analytics.
2. Click Create report. 
3. Under Compliance, select the template Gender pay gap.
4. Personio generates the report. Read on for a breakdown of the different sections of the report.
5. Optional: Adjust the filters, segmentation options, and other settings. Find more details about these settings below.
6. Save your report.

Default settings

Personio applies the settings below by default. You can find these at the top of the report and adjust them as needed.

• The timeframe is set to the last complete year.
• The country shown is the one where you have the most employees. Note that the number of employees you have in a country can affect your reporting capabilities.

Filters

Personio applies the following filters by default. You can add further filters to narrow down the information. 

• Status equals Active, Leave
• Employment type equals Internal
• Gender equals Male or Female

To ensure you include all the right employees, review the filters against the EU Directive requirements. For example, we recommend applying the filter Occupation type equals Permanent employee. (Personio doesn’t apply this filter automatically because Occupation type isn’t a preset system attribute.)

The report also includes a dedicated Compensation type (gender pay gap) filter. This filter includes variable types of pay, including:

• Individual recurring and one-time compensation types (by name)
• Bonus pay (as a group)
• Overtime payout (as a group)

If you don’t apply this filter, then the report includes all compensation types by default.

Segmentation

You can segment the report by the following recommended attributes:

• Job family, Job grade, Job level, Job name, Job track (this only works if you’ve set up the job architecture) 
• Tenure bucket (years)
• Legal entity
• Workplace
• Department

Overview section

An overview section at the top summarizes your status in relation to the EU directive threshold. It also shows the total percentage pay gap and variable pay gap.

Charts

Tip:
Click the icon at the upper right of each chart to open an information panel. This panel explains what the chart shows, the types of compensation included, and all relevant calculations.

The report includes different charts, explained in the table below.

Export the report

To export the gender pay gap compliance report, click the three-dots icon at the top of the page. You can export it as a PDF.

You can also download:

• Each chart as an Excel, CSV, or PNG file, and 
• Each table as an Excel or CSV file.

Share the report

As an Administrator, you can see your gender pay gap compliance report in the report list. As with other reports, you can also share it with other employees for viewing or editing. The recipient needs to have permissions to the relevant employee attribute data via their employee role. In particular, they need access to People data > Salary information.
 

Review limitations

• The EU Directive requires comparison between male and female workers only. You can still use other gender options as a filter in the report. However, the first version only covers male and female gap calculations.
• The calculation doesn’t yet include 13th/14th salaries and additional pay components.