At Improbable, our goal is to build a company which values the diverse contributions of its people. Prioritising diversity is a key part of building a healthy culture - one where our people can be sure they will be treated with respect and empathy, and treat their colleagues with respect in turn.
As we approach the end of the financial year we have a clear picture on the progress of our UK Gender Pay Gap and diversity and inclusion initiatives. The year has seen unprecedented growth at Improbable - both globally and in the UK. We have maintained a gender ratio in line with industry averages during that growth, but we do not think the industry average is good enough, and continue to work on global initiatives to make positive change.
As part of our commitment to progress in our diversity and inclusion initiatives, we have ensured transparent communication with our employees over the past 12 months by creating an open forum for all of our people to request and participate in our continued activities. Our Diversity and Inclusion committee reviews all employee ideas and suggestions, delivering monthly reviews to our senior team and a quarterly update to all employees, to ensure we remain focused and accountable.
This has led to the development of our internal women’s advocacy group, mental health network and a series of manager and employee sessions around the topics of inclusion and a healthy culture. We’ve seen positive progress across our early talent programmes, ensuring we reach out to a broad range of universities extending beyond the traditional recruiting grounds for software companies - leading to an increase of applications from women and ethnic minorities.
We acknowledge that although we are making positive progress with our internal initiatives, this is only the beginning of where we want to be in the future. We value the diversity of thought and unique perspectives our employees bring every day and we’re committed to ensuring an inclusive working environment is represented across our business at every level.
UK Gender Pay Gap
The gender pay gap (GPG) is a UK government mandated measure that gives visibility to pay distribution at work. It calculates the difference in average hourly earnings and bonus pay between men and women throughout the organisation, regardless of seniority or role type.
Companies that employ more than 250 people are legally required to publish a snapshot of their gender pay gap on the 5th of April each year. Today, almost 350 people work at Improbable in our UK entity, therefore, to meet our legal requirements and meet our commitment to transparency we're sharing our data for both April 2019 and April 2020.
Why do we have a gender pay gap?
Improbable’s GPG is primarily driven by having a lower number of women at higher salary levels compared with their male counterparts. This can be broken down into two key factors:
+ lower female representation in technical roles
+ lower proportion of women employed at senior leadership levels vs less senior levels
There has been an increase in the representation of women in the middle tiers of our salary distribution - representing internal advancement of women and more successful hiring of women in management and technical roles.
When hiring for technical roles and for leadership roles, we are dealing with external factors that limit the number of women in our intake of potential hires. However, we are very aware that one of the most effective ways we can address gender disparity in the tech industry is to demonstrate that there is opportunity at every level, and we acknowledge that we, and the industry as a whole, need to do more.
It is important to highlight that the data for reporting Gender Pay gap statistics is not the same as reporting on ‘equal pay for equal work’ - we make it a priority to ensure that equivalent work is remunerated equally and without differences based on gender. Improbable has a commitment to be compliant with the UK government's 2010 Equality Act and other global equivalents. In each of our performance reviews, we complete an audit of the compensation and promotion outcomes and are satisfied that we are meeting our obligations and our self imposed standards.
Bonus data includes bonuses given in the past 12 months in relation to performance, productivity and signing payments, and determines the percentage difference (mean and median) in total bonus payments.
A small proportion of employees received bonus payments in both 2018/19 and 2019/20 financial years. It is worth noting we do not have a company-wide variable compensation scheme and bonuses awarded were either from special achievements, baby bonuses or as part of the recruitment process.
As our CEO, Herman Narula, puts it: “There are many different forms of diversity, and as an employer and a partner we want not just to show respect and empathy for a diverse workforce, but also recognise the business value of a diverse workforce. Companies that are able to recruit from diverse groups, and empower the different thinking and perspectives of a diverse workforce are not just healthier places to work, but better-performing businesses. We want to be both - so our goal has to be continuous improvement in diversity and inclusion.”
Our Talent goals include our continued aspirations to increase the diversity of applicants to our roles at every level. Initiatives to address this include building relationships with academic institutions and diversity focused networks, ensuring all Talent communication such as our job descriptions are compliant with best practice on gender-neutral language, implementing on-site gender diverse interview panels and investigating industry diversity initiatives and events. We have also instituted a policy in our executive hiring process that wherever possible at least one woman is among the final candidates selected for on-site interview.
Our internal People goals are all about promoting the right actions and behaviours, ensuring everyone has a voice, is respected and valued. One of the key values we look for in employees is empathy and we believe this gives us a real advantage in creating a supportive, respectful environment where people can truly be themselves. Specific Initiatives include regularly taking the pulse of our organisation to make sure everyone feels included, publishing our diversity and inclusion stats quarterly, training all managers on leading inclusively and fostering informal networks of support across the company (mental health, LGBTQ, women’s advocacy group). Most of all, we embed an inclusivity lens into all of our people processes to ensure we hold up role models in this space and help those who don’t live up to our high standards. We are committed to building on our successes and working harder in the areas where our progress has not met our ambitions.
We confirm that the information and data in this report are accurate and in line with the requirements of the Gender Pay Gap Reporting Regulations.
Herman Narula, CEO
Ian Whiteford, VP of People