UK GENDER PAY REPORT 2017

61.0%

61.0%

72.0%

72.0%

Gender Pay Gap Legislation introduced in April 2017 requires all employers of 250 or more employees to publish detailsof their gender pay and bonus gap and at Sandvik we welcome the UK Government’s initiative for companies to be moretransparent on Gender Pay. Sandvik has one legal entity over the 250 threshold; Sandvik Ltd, which is reported below. We
also show the total picture for all Sandvik UK regardless of employing entities.
EQUAL PAY

Gender Pay GapSandvik is committed to providing equal pay for equal work and providing a diverse and inclusive place to work which
Gender Bonus Gap
is central to our business to ensure our continued success. We are confident that we have equal pay for equal work
however we do have a gender pay gap, as explained in our detailed findings below.

MEAN

MEDIAN

34.2%

28.2%

6.8%

1.8%

ALL SANDVIK UK EMPLOYING ENTITIESMEAN AND MEDIAN PAY AND BONUS GAP
at 5 April 2017

Gender Pay47.0%
Gap

MEAN

MEDIAN

34.2%

28.2%

53.0% 1.8%
6.8%

Gender Bonus GapPROPORTION OF ALL UK EMPLOYEES RECEIVING A BONUS
in 12 months preceding 5 April 2017

PAY QUARTILES ACROSS ALL UK EMPLOYEES
at 5 April 2017Lowerquartile

61.0%

Lower middle
quartile

Upperquartile

Lower quartile TOTAL Lower middle quartile TOTAL
Upper middle quartile TOTAL Upper quartile TOTAL
16%

20%
84%

61.0%

Lower upper
quartile

13%

22%

87%

78%

80%

72.0%
Gender Pay Gap
Gender Bonus Gap

SANDVIK LTD
MEAN AND MEDIAN PAY AND BONUS GAP
at 5 April 2017

MEAN

MEDIAN

42.7%
MEDIAN

33.0%

Gender Pay Gap

4.6%

Gender Bonus Gap MEAN

Gender Pay Gap

6.8%

1.8%

-6.0%

GenderBonus Gap OF SANVDIK
34.2% LTD
28.2%
PROPORTIONEMPLOYEES RECEIVING A BONUS
in 12 months preceding 5 April 2017

PAY QUARTILES ACROSS SANDVIK LTD EMPLOYEES
at 5 April 2017

Lower
quartile

Lower quartile Ltd
8%

Gender Pay Gap

53.0%

MEAN
4.6%

MEDIAN-6.0%

Lower middle
quartile

Lower upper
quartile

Lower middle quartile Ltd Upper middle quartile Ltd
18%

92%

47.0%

72.0%

11%

20%

82%

Upper
quartile

Upper quartile Ltd

80%

89%

MEAN

MEDIAN

34.2%

28.2%6.8%

1.8%

OUR FINDINGSThe “UK all” data shows our “gender pay gap”. This is a snapshot of the difference between the average hourly pay levelsof all women compared to all men, irrespective of their role or level in the organisation, expressed as a percentage ofmen’s average pay (mean and median). Our figures show that the median average pay of all our women in the UK is 1.8%
lower than that for all our men and the mean average is 6.8% lower. For comparison, the UK’s national gender pay gap
is 18.1% lower for females compared to males. The hourly pay figure used to calculate the difference includes all items
specified in the regulations, such as allowances and shift pay. In addition, we compare the overall averages in bonus
payments (performance related bonus) which shows Women are more likely to receive a bonus but the gender bonus gap
is an area where Sandvik UK need to take further action. This gap is caused by an unequal distribution of men and womenacross the company, not because of our pay policies and practices, which are currently being reviewed via a new Job
Framework mechanism.
Overall, Women currently represent 17.5% of employees. Women are less well represented than this figure in the higher
pay quartiles due to proportionally more men being in senior level roles. Therefore, increasing the number of women in
our business and moving towards an equal distribution of men and women across all levels is very important.
SANDVIK UK APPROACH

To address gender balance, we must maintain a culture of inclusion in which people from all backgrounds can fully
contribute to the growth and success of our business. To achieve this, we will focus on four areas:
1.

Visible Leadership
The UK Senior Management Team will continue to actively support and review the HR Strategy across the UK withDiversity and Inclusion being included as a regular agenda item.
They will also take part in an unconscious bias training course in 2018.

The UK Senior Management Team will also invite selected members of the Sandvik UK’s Women in Engineering
Network (Professional Level) and the Sandvik UK Women in Management to events as appropriate and provide
coaching and mentoring, which will be reviewed and facilitated by the HR Country Co-Ordinator on an individual basis.
2.

Recruitment and Attraction
Sandvik are to investigate working with organisations such as Women in Engineering to boost our visibility amongst
potential female talent.

We will continue to be a lead sponsor at The Manufacturing Technologies Association (MACH exhibition) which is atrade association for companies working in the engineering-based manufacturing sector. Which encourages talentthrough funding and support for workplace training and education initiatives in schools, colleges and universities.
And encourages young women to see science, technology, engineering and mathematics (STEM) as a future career.
And to continue to support local STEM initiatives via STEM Ambassadors.
We will mitigate unconscious bias during selection processes by providing guidance, information and training torecruiting managers and encourage gender-balanced selection panels.

We will continue to develop our external recruitment materials in the UK , which may include a statement about theGender Pay Gap, our approach to equal opportunities or information that recognises our commitment.
3.

Inclusive Culture
Sandvik UK will support the Global Sandvik Diversity and Inclusion strategy and the Sandvik Code of Conduct. Wewill review local UK family friendly polices to reflect legislation but also best practice and communicate these toemployees in a proactive manner.

4.

Career DevelopmentSandvik UK will launch two new networking groups in the UK in 2018, which will be facilitated by the UK HR CountryCo-ordinator.
a. Sandvik UK Women in Engineering Network (Professional Level)b. Sandvik UK Women in Management (Management Level)

The primary terms of reference for both networks is to enhance career progression by providing the opportunity toenhance skills and the added exposure to senior managers via coaching and mentoring.
We confirm the data reported is accurate.

Carolina Granat
Vice President Human Resources
Sandvik Machining Solutions
March 2018

Richard HarrisManaging Director
Sandvik Holdings Ltd