The BBC’s report into pay inequality has found no evidence of gender bias in pay decision-making despite the long-running debate that has dogged the broadcaster since last summer.
Accountancy firm PwC, which produced the report, criticised the BBC for its ‘lack of clarity and openness’ and said there were ‘anomalies’ that needed addressing.
Their report found a 6.8 per cent gender pay gap among on-air staff earning more than £150,000.
In response to the report, the BBC said it wanted to be the ‘most transparent organisation when it comes to pay’ and will do more to explain the salary of each presenter receiving more than £150,000.
Unveiling a pay system with ‘transparency at its heart’, the broadcaster will introduce a ‘new on-air framework’ for determining the pay of its stars.
It also announced ‘substantial pay cuts’ for some men and increases for some female (and male) presenters.
Following the report, Director-General Tony Hall said: ‘The BBC has a special role representing Britain. That is why we need to be and want to be an exemplar on gender pay, and equal pay’
Director-General Tony Hall says: ‘The BBC believes in equality. No one should be paid differently because of their gender.
‘The BBC has a special role representing Britain. That is why we need to be and want to be an exemplar on gender pay, and equal pay.
‘Today’s report does not find evidence of gender bias in decision-making, but it shows that we have real and important issues to tackle, particularly in some areas of news and current affairs, and I’m determined to get it right.
‘The plans we’re setting out today go further and are more important steps in modernising the BBC and making it fairer.’
The BBC said it would take five actions:
1. On air, there will be substantial pay cuts for some men, and pay rises for some women (and men).
2. A ‘new framework’ for determining the pay of people on air will be introduced, to match that already created for the rest of BBC staff.
3. Everyone will be able to see the pay range for virtually every job in the BBC. Where there are more than 20 people in a job, staff will also be able to see where everyone else is positioned.
4. The BBC will look at what more can be done to make the company a ‘better place for women to work’.
5. The BBC will accelerate progress towards equal representation of men and women at all levels on air, and also towards closing the gender pay gap by 2020.
The broadcaster said it had already resolved more than half of 230 cases raised so far relating to pay equality and would deal with the rest by the summer.
However BBC Women have already said they have ‘no confidence’ in the review and have been ‘excluded from the process’.
More than 120 female staff have lodged formal grievances against the Corporation, following the controversy that exploded last summer.
Most of the women taking action against the BBC are demanding pay rises to put them level with male colleagues.
The likes of John Humphrys (left) and Huw Edwards (right) are taking lower wages at the BBC
But many also want backdated payments to compensate them for the income and pension contributions they have missed out on in the past.
As most of the money comes from the licence fee, which is currently £147 a year and pegged to inflation, there are fears money that would normally go towards making programmes will have to be diverted.
The broadcaster was also accused of making ‘veiled threats’ and ‘deliberately misleading’ women who raised equal pay complaints.
The long-running debate about gender pay at the BBC began last summer after the corporation published its salaries for on-air staff earning more than £150,000.
This graphic shows the extent of salary inequality at the BBC, with female presenters and correspondents paid less than their male colleagues
MPs last night published damning evidence from BBC Women – a coalition of 170 female staff including Victoria Derbyshire, Mishal Husain and Kirsty Wark – and the National Union of Journalists.
The evidence released yesterday included 14 cases ‘of inequality of pay’, detailing a string of examples of female staff being underpaid.
The women were not named ‘out of concern for their BBC careers’.
But one presenter prepared to go on the record was former BBC Scotland health correspondent Eleanor Bradford, who claimed she was paid ‘around £10,000’ less than some of her male colleagues in similar roles, prompting her to leave the BBC after nearly 15 years.
Another female presenter said the gender pay disparity left her feeling as though bosses ‘had naked pictures of you in their office’.
The MPs – from the digital, culture, media and sport Committee – said it appeared the BBC had a ‘deeper cultural problem’ with gender pay than previously thought.
The BBC has proposed a £320,000 cap on its news presenters’ salaries after the outcry over gender pay inequality.
The upper limit will also apply to editors and correspondents, although the plans have not been fully agreed or signed off and those affected by the cap have been given the opportunity to respond, BBC News reported.
It has not been clarified if on-air staff will be able to earn more from other work at the BBC, such as entertainment programmes on radio and television.
BBC director general Tony Hall and Carrie Gracie, who quit as the BBC’s China editor over ‘pay discrimination’ this month, will be questioned by the committee of MPs tomorrow.
Last week a number of the BBC’s leading male presenters agreed to have their pay cut in the wake of the row.
BBC director general Tony Hall and Carrie Gracie, (pictured) who quit as the BBC’s China editor over ‘pay discrimination’ this month, will be questioned by the committee of MPs tomorrow
The broadcaster said Jeremy Vine, Nicky Campbell, John Humphrys, Nick Robinson and Huw Edwards would take reduced wages.
Figures released in 2017 showed Vine was one of the corporation’s highest paid stars, earning £700,000-£749,999; Humphrys, who presents the Radio 4 Today programme with Robinson, earned between £600,000 and £650,000 and BBC News presenter Edwards earned £550,000-£599,999.
Vine hosts a weekday show on Radio 2, as well as featuring in BBC News’ election coverage, while Humphrys also presents Mastermind on BBC Two.
Veteran broadcaster Humphrys agreed to cut his salary to around £250,000 to £300,000, saying the BBC is now in a different position financially to its past.
BBC presenter Andrew Marr is paid up to £450,000 for hosting two shows a week
Jon Sopel, BBC’s North America editor, has also accepted a pay cut.
The figures released last year showed he earned between £200,000-£249,999, while Gracie earned £135,000-a-year.
Radio 2’s Chris Evans topped the 2017 list on more than £2 million, while the highest paid woman was Claudia Winkleman on between £450,000 and £499,999.
A BBC spokesperson said: ‘We look forward to an informed debate at the select committee based on all the facts.
‘The BBC is committed to equal pay, and we don’t accept the assertion we have not been complying with the Equality Act, nor do we offer inferior contracts based on someone’s gender or race.
‘We want to help women progress in their career and have set out ambitious targets to close the gender pay gap, filled by women. We’ve also set out action to achieve them.
‘We have already set out how we plan to deliver real pay transparency for our staff, and today we’ll publish proposals to significantly change how we manage on-air pay so we have a clear, transparent and fair system for the future.’
The spokesperson added that the corporation would ‘not getting in to debates at the moment on pay band levels’.