Karachi November 26 2024: In a significant step towards promoting gender diversity and pay equity, the Securities and Exchange Commission of Pakistan (SECP) has issued a directive that requires the boards of listed companies to include a Gender Pay Gap Statement in their annual reports and make it publicly available on their websites.
The mandate will apply to financial years ending on or after June 30, 2024. To facilitate compliance, SECP has provided a suggestive template and detailed guidance on calculating the gender pay gap, including:
• Mean Gender Pay Gap: Calculated as the percentage difference between the average hourly pay of male and female full-pay employees.
• Median Gender Pay Gap: Determined by the percentage difference in the median hourly pay of male and female full-pay employees.
The disclosure must also include any additional relevant data deemed necessary and be signed by the CEO or a director on behalf of the company’s board.
This initiative underscores SECP’s commitment to fostering transparency and addressing pay disparities, encouraging listed companies to take meaningful steps toward workplace gender equality.
