Bridging the Gender Pay Gap
As a leading Senior Portfolio Finance recruitment company based in London, Pearse Professionals is committed to connecting top-tier talent with some of the most prominent financial firms in the UK and beyond. While we strive to ensure our candidates achieve the positions they deserve, one issue remains a significant hurdle across the finance sector: the gender pay gap.
The gender pay gap continues to affect opportunities, compensation, and career progression for senior finance professionals—especially women. In this article, we’ll explore how the gender pay gap impacts our candidates and what organisations can do to drive change.
The Gender Pay Gap in Finance: A Persistent Challenge
Despite growing awareness and steps towards equality, the financial services industry still faces a significant gender pay gap. According to the UK’s Office for National Statistics (ONS), the average gender pay gap for full-time employees was 7.7% in 2023. However, in the finance sector, this gap is often much wider, particularly for senior roles such as portfolio finance executives, where both pay and progression discrepancies are evident.
The underrepresentation of women in senior finance positions exacerbates this issue. Just 15% of executive roles in finance are held by women, and this disparity feeds into unequal pay scales, bonuses, and opportunities for career advancement.
How the Gender Pay Gap Impacts Senior Portfolio Finance Candidates
For candidates at the top of their career in portfolio finance, the gender pay gap has far-reaching implications, both financially and professionally. Below are some key ways in which the gap affects our candidates at Pearse Professionals:
Unequal Pay for Equal Roles
Even at the highest levels of finance, where responsibilities and qualifications are identical, women often earn less than men in the same roles. Senior portfolio finance executives may experience a significant wage gap despite leading portfolios of equal size and complexity. This disparity not only limits income but also affects long-term financial security, pensions, and retirement savings.
Barriers to Advancement
The gender pay gap is closely linked to barriers to career advancement. While many of our female candidates have the experience and qualifications to excel in senior roles, they may face slower promotions compared to their male peers. Gender bias in promotion practices often results in fewer women reaching top leadership roles, further perpetuating the pay gap.
Negotiation Challenges
Research shows that women are less likely to negotiate their salaries or bonuses than men, and when they do, they tend to receive lower outcomes. This is partly due to societal expectations and the risk of being perceived negatively for asking for more. For senior finance professionals, these missed opportunities to negotiate can lead to significant income disparities over time.
Limited Bonus and Equity Options
Many senior portfolio finance roles come with bonuses, equity options, and performance-related pay. However, women are often at a disadvantage in accessing these additional income streams, resulting in an even wider gap when overall compensation packages are considered. These inequalities have long-term impacts, especially when considering investment potential, financial security, and career satisfaction.
What Can Be Done to Address the Gender Pay Gap?
While the gender pay gap is a complex issue, organisations have the power to implement effective measures that promote pay equality and support diverse leadership. Here are a few key steps businesses can take to bridge the gap:
Conduct Pay Audits
One of the most straightforward ways to address the gender pay gap is through regular salary audits. By reviewing pay across all senior roles and identifying discrepancies, companies can take concrete steps to ensure that male and female employees receive equal compensation for equivalent positions.
Support Flexible Working Arrangements
Offering flexible working options is essential for attracting and retaining senior female talent. Many women take career breaks or reduce hours to balance family responsibilities, which can hinder their progression. By supporting flexible hours, remote working, or part-time senior roles, firms can create an environment where talented women can continue to thrive and reach senior positions without sacrificing career goals.
Equal Promotion Pathways
Ensuring women have the same access to leadership training, mentorship, and promotion opportunities is crucial in closing the gender gap. Companies should evaluate their promotion processes to remove any unconscious bias that might prevent women from advancing to executive roles.
Create Transparent Salary Policies
Encouraging transparency around salary discussions is a key step towards equality. By implementing clear and transparent salary bands and ensuring that all employees understand how pay is determined, organisations can prevent gender-based disparities and foster a culture of openness.
Promote Diversity and Inclusion
Organisations that foster diverse leadership teams tend to perform better both financially and culturally. Encouraging a culture of inclusivity—through diverse hiring practices, gender-balanced leadership initiatives, and active sponsorship of women in finance—will benefit the organisation as a whole and help close the gender pay gap.
How Pearse Professionals Supports Equal Opportunities for Senior Portfolio Finance Executives
At Pearse Professionals, we are passionate about supporting our candidates in achieving the positions and compensation they deserve. We work closely with both our clients and candidates to ensure fair hiring practices and transparent salary discussions. As experts in Senior Portfolio Finance recruitment, we are committed to bridging the gender gap in finance, helping businesses find the best talent and empowering all candidates to reach their full potential.
By partnering with companies that share our values of equality and diversity, we aim to create more opportunities for women in finance, reduce the gender pay gap, and support a more balanced, dynamic leadership within the sector.
Pearse Professionals is a specialist Senior Portfolio Finance recruitment company based in London, providing expert recruitment services to top finance firms across the UK and internationally.
We connect talented professionals with leading employers to help build successful, diverse teams in the finance industry. Contact us today to find out how we can help you advance your career or fill your senior finance roles with the best talent in the market.
To discuss the hiring process with Pearse Professionals, contact us at info@pearseprofessionals.com.
Alternatively we can arrange to meet with you and map out a strategy to fulfil your hiring needs.