IBM Services Centre UK Limited Gender Pay Gap – 2020 Results

IBM has a long standing and award winning commitment to creating an inclusive workforce and welcomes the new legislation

The Equality Act 2010 (Gender Pay Gap Information) Regulations 2017 require all companies employing 250 or more employees to publish their gender pay gap results. The government defined gender pay gap metric measures the difference between the average earnings of all females in the organisation and the average earnings of all males, irrespective of their seniority or role. This is not the same as equal pay, which compares what men and women are being paid for the same or similar work. Having a gender pay gap can be an indicator of two key dynamics within an organisation and these can appear either on their own or in combination. These dynamics are inequitable pay, as measured against the "Equal Pay" criteria, or an imbalance in male and female representation across the levels within the organisation. For many years we have been focused on equal pay and comparing like for like, however this legislation has shone a further light on the imbalance in male and female representation across our organisational structure. Our 2020 Gender Pay Gap results show an improvement on 2019 results and reflect the impact our initiatives are having in reducing the current gap. Like many other organisations, our gap is a result of having a lower percentage of females in senior, higher paid roles. Addressing the Gender Pay Gap continues to be a strategic focus for our business and has the full backing of our Executive team. Priority actions are in place and we continue to look at initiatives to increase our female representation in senior roles and redress our current gender imbalance, through inclusion and opportunity, as well as investment in continuous and tailored learning.

Please note IBM Services Centre UK Limited does not have a company bonus plan, however bonus payments are awarded in certain circumstances. The high bonus pay gap is reflective of the slightly higher number of women who received bonuses compared to men, with low volumes creating a greater variance in data reporting. 2019 Gender Pay Gap results can be viewed by following this link:

Increasing Female Representation

Gender equality in leadership is a high priority for IBM and we have worked hard to drive progress in this area. Advancing women in the workplace and developing future female leaders continues to remain a key focus. Whilst we invest in learning and leadership development programmes that benefit women, we recognise that gender equality is created in partnership across the genders. Our IBM Women’s Global Executive Leadership Council, co-chaired by two of IBM’s General Managers, consists of both male and female executive volunteers. These volunteers are tasked with increasing the diversity of our executive population, creating a pipeline for leadership roles and looking at ways to attract and retain women at IBM. As we develop many great female leaders, we also seek to create an environment that attracts the best female talent from the marketplace. The European Women's Leadership Council (EWLC) of which the UK is an active member, meets quarterly to discuss initiatives and share programmes and projects which benefit the advancement of women in IBM. The council is actively driving improvement of female representation in executive leadership and leadership development and working to attract, retain and promote women in IBM.

Culture of Inclusion

Diversity and inclusion are integral to IBM's strategy and its values. In 2020 IBM published the Global Diversity and Inclusion Report which reaffirms that IBM is making significant advances in diversifying our workforce. Be Equal is an initiative within IBM to engage IBMers, customers and society in promoting the advancement of gender equality in business leadership. Its focus is hiring, developing, mentoring and promoting women at every level of the organisation. Additionally, MeForShe@IBM is a solidarity campaign for the advancement of women, initiated by UN Women and promoted within IBM. Its goal is to achieve equality by encouraging men and boys to be agents of change and take action against negative inequalities faced by women and girls. We encourage IBMers to sign up to this programme and become advocates. In IBM Services Centre UK Limited we have five employee led Employee Champion Teams including our Women-of-CIC Team which provides opportunities for women and allies to extend their networks, share experiences and attend events, training or workshops. We also have access to the IBM UK Business Resource Group ConnectingWomen@IBM, which provides further opportunity to extend their network and attend shared events with other major IT companies participating in the ‘Connecting Women in Technology’ (CWT) network. Unconscious Bias training has also been rolled out across our business. To further support its employees, IBM has developed a specific programme of training to help all employees identify, address and seek support in instances of Sexual Harassment and Workplace Bullying to drive prevention of such behaviours. Additional voluntary training includes the Be Equal Ambassador Badge, which is earned by IBMers who demonstrate volunteer effort and advocacy representation in support of IBM's diversity, inclusion, talent and business priorities. Unconscious Bias training has also been rolled out across our business.

Skills and Development

Developing new skills and ensuring all employees have the right skills for the changing market is a business imperative. IBM is committed to investing in and creating an environment that offers employees the opportunity for development and advancement, enabling new learning experiences and career progression without barriers. “Your Learning” provides every IBMer with a personalised learning environment, enabling them to find, undertake and track their individual learning from an extensive range of online, self-study, virtual and classroom learning. IBM also offers world class learning and development experiences for leaders at all levels of the organisation via the IBM Leadership Academy. IBM has two key award-winning development programmes specifically tailored to developing women and accelerating their careers through the organisation; Building Relationship and Influence programme and Elevate +.

Workplace Enablement

We are committed to providing all employees with flexible working choices, helping them to achieve greater work life integration, reduce stress and enhance productivity. Our flexible working policy ranges from standard part-time working to compressed hours, term-time working, job share, annualised hours, mobile working and working from home. Aside from these formal arrangements, employees are also encouraged to adopt a flexible approach to working. Our flexible working practices have received external recognition including the Flexible/Agile Working Award by the Employers’ Network for Equality and Inclusion (enei). In 2020 IBM was amongst the enei 2020 TIDEMARK Gold Award winners. IBM Services Centre UK Limited also provides access to our Employee Assistance Programme which provides information, advice and support to employees who may have caring responsibilities.

I confirm IBM’s gender pay calculations are accurate and meet the requirements of the Regulations. We have followed advice provided by our specialist external consultants on our methodology and data, in line with the Equality Act 2010 (Gender Pay Gap Information) Regulations 2017. Tom Finnigan Chief Executive and Director IBM Services Centre UK Limited