Always remember that specific rules apply to equal pay between women and men where pay or benefits are part of the workers contract of employment. If the reason for a difference in pay or benefits is or might be the workers sex, in other words, the fact that they are a man or a woman, you should read the information in Making sure you are giving women and men equal pay and benefits to understand what the rules are.
Are you an employer?
This guide calls you an employer if you are the person making decisions about what happens in a work situation. Most situations are covered, even if you don't give your worker a written contract of employment or if they are a contract worker rather than a worker directly employed by you. Other types of worker such as trainees, apprentices and business partners are also covered. Sometimes, equality law only applies to particular types of worker, such as employees, and we make it clear if this is the case.
Make sure you know what is meant by:
These are known as protected characteristics.
Unlawful discrimination can take a number of different forms:
For example:
An employer is deciding how much to pay two trainees who are starting work. Both trainees will be doing the same job. If the employer decided to pay one of the trainees less because they were a disabled person, this would almost certainly be unlawful discrimination because of disability.
For example:
An employer provides a company car only to workers for whom insurance costs are below a certain limit. Because insurance costs for younger drivers are generally higher, this may mean that younger workers are not eligible for a company car. Unless the employer can objectively justify their company car policy, this may be indirect discrimination because of age.
For example:
An employer gives workers a bonus if they have not taken more than three days off sick in the previous year. They do not separately record time off for sickness and time off for medical appointments taken by disabled people. A worker who is a newly disabled person because of an amputation has to attend a clinic once a month to have their prosthetic leg checked. They have to take half a days leave each time and this has been recorded as six days sickness absence over the course of the year. Unless the employer can objectively justify using sickness absence as a test for whether workers receive the bonus, this is likely to be discrimination arising from disability, as the disabled worker has been treated unfavourably (not receiving the bonus) for a reason connected with or arising from their disability (the need for time off for the appointments).
For example:
A small chain of fast food restaurants gives staff with children vouchers so that they can take their children for cheap meals. One member of staff has a disabled child and does not receive the vouchers because their manager assumes that the child will not be able to go to the restaurant. This is probably direct discrimination because of disability by association.
For example:
A small employer has one Asian member of staff who they assume is a Muslim. Because of this, they do not offer the worker an opportunity to attend a networking event which would benefit them in their career, because it is a dinner where alcohol will be served and they are also unsure whether a Muslim's dietary requirements will be accommodated. She is not a Muslim but has been denied an opportunity based on an incorrect assumption about her religion or belief. This is probably direct discrimination because of religion or belief by perception. Instead, the employer should discuss the opportunity with the worker, which would sort out any misunderstandings.
For example:
A worker who complains unsuccessfully but in good faith of sexual harassment by their manager is not given a bonus at the end of the year. If the reason for denying them the bonus is the complaint, this would almost certainly be victimisation.
This also includes treating a worker badly because they have discussed with anyone (including a colleague, former colleague or trade union representative) whether they are paid differently because of a protected characteristic.
For example:
A worker who is of Bangladeshi origin thinks he may be being underpaid because of his race compared with a white colleague. He asks the white colleague what he is being paid and the colleague tells him, even though his contract forbids him from disclosing his pay to other staff. The employer takes disciplinary action against the white colleague as a result and dismisses him. This would be treated as victimisation.
For example:
A worker is denied a bonus because she refuses to submit to sexual harassment by her manager and instead reports him. The withholding of the bonus is a further act of harassment under the equality law definition as it is less favourable treatment because of that refusal to submit.
In addition, to make sure that a disabled worker has the same access, as far as is reasonable, to everything that is involved in doing a job (including pay and benefits) as a non-disabled worker, you must make reasonable adjustments.
You must make reasonable adjustments to what you do as well as the way that you do it.
You can read more about making reasonable adjustments to remove barriers for disabled people.
More information
Equality Act good practice guidance downloads
Protected characteristic's definitions
View the current guidance and information for employers
Your responsibilities for staff behaviour
Tools: Equal Pay (detailed guidance on implementing equal pay)