The Gender Pay Gap in Tech

In the UK’s growing digital market, employees can expect to earn better salaries than the rest of the economy. A report conducted by Tech Nation has concluded that the average advertised salary for digital roles is just under £50,000, which is 36% higher than the national average. Over the years, the advertised pay for digital roles has grown by 13%. On top of this, the industry is growing 32% faster than the average for businesses in other sectors. The tech economy accounts for nearly 1.6m jobs and also creates highly paid opportunities.

gender pay gap

Digital technologies can change every aspect of a business and therefore jobs and activities within the technologies are very important. Additionally, having a diverse team to create and implement these technologies are just as important to accommodate society. Without diverse teams, businesses could face claims of discrimination from products and services and be at financial risk.

Although the UK’s growing market is benefiting the overall economy and providing thousands with jobs, why is the tech industry still deemed as a male dominated sector. Not only this, but it has become increasingly difficult for women to enter the sector due to stereotypes, discrimination and the gender pay gap. Studies have consistently shown that the gender pay gap is real, even though females and males are possessing the same skill set.


Gender pay gap

Around 78% of large organisations admitted to having a gender pay gap in the technology sector. It was found that males were earning more than females. Only 14% of businesses have a median pay gap for women and 8% have no gender pay gap at all. Women earn up to 28% less than their male colleagues in the same tech roles.

It has been found that the gender pay gap in tech is found more in small businesses where the gap is between 19-20%. However, to try and show their support, large companies have revealed a gender pay gap report and the figures aren’t exactly better. Googles report shows that women earn 83p an hour for every £1 each male earns, and women’s average bonuses are 43% lower than men. Apples report revealed that women earn 74p for every £1 that their male colleagues earn and only 88% of women receive bonuses compared to 94% of males.

There are several factors that could affect the gender pay gap in tech, such as working in different hierarchy positions, skills and previous experience. However, for those who do have the same set of skills and experience, it is unacceptable for large companies who have such a high reputation like Google and Apple to produce such poor gender pay gap results.


Gender age pay gap

Believe it or not, another factor that can affect the pay you receive from tech companies is your age. A survey on 40,000 people revealed that both pay increases and promotions peak at the start of people’s careers. Individuals whose ages are around 60 have a fall of around 3% compared to in their younger years. Almost one in five employees can expect to be promoted in their early years. Yet, the rate of the promotion drops for those in their late 20s and by the time you’re 50 you are only 7% likely to be promoted.

However, recent studies have shown that the largest gender pay gap in tech is in early careers, as women under 25 are earning on average 29% less than males their age. The study goes on to suggest that this could be because women are progressively overcoming bias which is seen as a disadvantage over the course of their careers. Alternatively, it could be a sign of changes in the industry or society over recent decades.

More must be done to change the gender pay gap to encourage more women into the tech sector. Company cultures can also have an impact on the lack of women in tech, so businesses should try to change their culture to become more inclusive. Promoting shared parental leave, maternity benefits, flexible working and child care support as just some ways a company can appeal to women. Businesses must educate not just themselves but current staff on the benefits that a diverse workforce can have.