Melitta UK Ltd welcomes the opportunity to report our gender pay gap under The Equality Act 2010 (Gender Pay Gap Information) Regulations 2017.
This Gender Pay Gap Report is based on data as at 5th April 2024. At this point, Melitta UK Ltd employed over 260 staff, of which a total of 251 staff have been calculated within our gender pay gap this year due to maternity leave and LTS who have received no pay. These 251 staff comprise 170 (67%) male employees and 81 (33%) female employees.
At Melitta, we believe in creating a diverse and gender-balanced workforce. We believe in job opportunities for everyone, regardless of gender, background, race, and ethnicity. We are striving to create a truly inclusive culture.
Our overall mean gender pay gap is 8.36%. This is mainly due to some white-collar roles being in high demand, owing to the need for specific skill sets and knowledge retention within the business. The median gender pay gap is 1.28%.
Our business had another successful year in 2023, which resulted in larger bonus payouts in 2024. This is a profit-sharing bonus scheme for IL Managers, which also contributed to the difference in our mean gender pay gap. However, in 2023 all employees received a one-off bonus payment.
We are committed to ensuring no disparity in pay rates for those carrying out the same roles. At the same time, we want to understand what is driving our pay gap and how we can improve it. We know our gender pay gap is not a pay issue but is caused by a lack of female representation in certain roles. We have more men than women in senior positions, although this proportion has increased slightly in 2024. Our data shows we had a similar number of female employees overall when comparing 2024 headcount figures to previous years.
Throughout our Production and Warehouse Departments, all operators are paid using a grading system that rewards the higher skill sets required for certain functions, irrespective of gender. All blue-collar workers in the pay-grade structure have the opportunity to learn and develop their skills to increase their hourly pay. In 2024, we conducted a national benchmarking exercise to ensure competitiveness in pay for various factory roles.
In 2023, we introduced a new grading system for our production and warehouse operations (hourly paid employees) with an accelerated pay grade to support retention, recruitment, and diversity in the workplace. This is expected to help further reduce the mean gender pay gap. In 2024, we saw an increase in training and employees moving into higher pay bands. That same year, the Company decided to give both blue-collar and white-collar employees the same amount of pay increase annually so that, after entry level (based on NLW), all grades receive the same annual increase.
Production and Warehouse employees who work the night shift receive a higher shift allowance, and these employees are predominantly male. We anticipate changes next year when we report again, as the proportion of employees working the day shift versus the night shift has been adjusted.