Citigroup, Morgan Stanley Show Wide Gap in U.K. Gender Pay
Citigroup and Morgan Stanley gender pay data reflects greater proportion of males in more senior positions.
(Bloomberg) -- Citigroup Inc. and Morgan Stanley were among U.S. lenders to reveal wide disparities in how women are paid versus men in the U.K., reflecting the greater proportion of males in more senior positions.
Citigroup pays U.K. females 44 percent less than male employees on average and the gap widens to 67 percent for bonuses, according to a spokesman. The bank, which employs about 9,000 people in Britain, made the disclosure on Tuesday under legislation requiring companies to release the data by April 4.
Bank of America Corp. also said Tuesday that female staff in Britain receive 29 percent less on average than male employees. The divide broadens to 58 percent for year-end discretionary awards. The company is “committed to bringing more women into financial services at a senior level, and into roles that offer the prospect of significant progression,” BofA said in a statement. Morgan Stanley’s U.K. female staff received 42 percent less, widening to 73 percent for bonuses.
“Our metrics are not where we would like them," said Robert Rooney, the CEO of Morgan Stanley International.
“The finance sector has had the biggest gap for many years,” said Dominic Hook, national officer for finance at the labor union, Unite. “Banks need to break the glass ceiling so more women can be promoted into higher positions.”
Credit Suisse Group AG’s female staff in the U.K. earned 39 percent less than men on average, with the shortfall widening to 70 percent for bonuses. “The gap is disappointing," says David Mathers, the head of Credit Suisse International. “There is clearly much work to be done.”
Nicky Morgan, the chair of the U.K. Parliament’s Treasury Select Committee, has warned that she might summon bank executives to explain their pay gaps to lawmakers. “Sometimes Nicky feels that more stick than carrot might be needed,” her committee’s spokesman said by telephone.
Last month, Goldman Sachs Group Inc. reported a U.K. pay gap of 56 percent.
--With assistance from Stephen Morris
To contact the reporters on this story: Gavin Finch in London at gfinch@bloomberg.net, David Hellier in London at dhellier@bloomberg.net.
To contact the editors responsible for this story: Ambereen Choudhury at achoudhury@bloomberg.net, Jon Menon, Keith Campbell
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