British co-operative Co-op has published its socioeconomic pay gap report – the first UK retailer to do so.
The report, which covers the period from April 2023 to April 2024, highlights the pay disparities that exist between employees from different socioeconomic backgrounds.
Go deeper with GlobalData
The retailer collected voluntary data from almost half (48%) its 57,000 UK employees. The company used the Social Mobility Commission’s recommended measurement method.
A mean pay gap of 5.2% exists between staff from lower and higher socioeconomic backgrounds, with those from lower backgrounds least likely to advance to senior roles.
The report also points out that female employees from lower socioeconomic backgrounds experience the largest pay difference.
In response to the findings, Co-op is intensifying efforts on its Social Mobility Plan, which advocates for socioeconomic background to be recognised as a protected characteristic under the Equality Act 2010.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataAiming to enhance the quality of future reports, Co-op aims to gather socioeconomic data from 80% of its workforce in 2024/2025.
The company has a current 72% response rate for such data.
The initiative is part of Co-op’s broader commitment to support staff from less privileged backgrounds and to increase transparency in pay gap reporting.
The retailer has also been voluntarily publishing reports on its ethnicity and gender pay gaps since 2021.
Co-op Group CEO Shirine Khoury-Haq said: “This is a truthful report of our business and even though there is work to be done, I am proud that we are the first retailer to have carried out this research.
“For Co-op, establishing this annual reporting process forms a crucial part of our commitment to making a difference in issues that our own member-owners care about. By holding ourselves accountable and outlining the steps we will take to address inequality within our business, we hope to inspire long-lasting change at a societal level, so that everyone can thrive no matter their background.”
In March 2024, the Co-op confirmed a substantial pay increase for its frontline store colleagues, aligning with the UK’s Real Living Wage.
