MultiCultClassics is often occupied with real
work. As a result, a handful of events occur without the expected blog
commentary. This limited series—Delayed WTF—seeks to make belated amends
for the absence of malice.
The
Drum published a lengthy report on the gender pay
gap in Adland, spotlighting how Havas
Media actually increased its cash chasm. Hey, at Havas, men enjoy distinct advantages—and even more for male heirs.
Pay gap at
Havas Media rises 22% as progress on adland equality stalls
By
Sam Bradley
Latest figures for UK ad agencies show lack of industry-wide
progress on pay equality.
Analysis
of pay gap data released this week shows that adland’s gender pay gap – 15.3% –
remains higher than the UK average of 12.1%. The data suggests that the
industry is still failing to make real progress on pay equality.
At
media planning and buying agency Havas Media, the difference between men and
women’s median pay was 19%, a 22% increase on last year’s benchmark.
It
wasn’t the only agency that saw pay equality efforts backslide. The pay gap at
agencies owned by WPP, the largest ad group in the world and also the largest
in the UK, rose 1.6%.
Overall,
the median difference between men and women’s hourly pay in advertising
decreased by just 0.57% between 2022 and this week’s snapshot deadline.
Publicis
Groupe, which is the next largest agency group in Britain, saw its pay gap
close by just 0.6% in the last year.
Annette
King, chief executive of Publicis Groupe UK, said: “We made headway in six out
of our seven agencies that report their gender pay gap. I’m pleased to see the
progress but, overall, it’s too slow and we can do better. I am committed to
making Publicis Groupe UK a place where anyone can thrive, no matter where they
come from or what they’re going through, and we will continue to do the work to
achieve this critical goal.”
All
British firms with over 250 employees must publish detailed figures on their
gender pay gaps in the first week of April.
Based
on analysis of that data, we’ve collated the gender pay gaps of almost 50
agencies in the tables below, including a comparison with the pre-pandemic
snapshot from 2018-2019. Agencies are ranked by largest pay gap reported in
2022-2023.
On
average, women’s hourly pay at WPP agencies is 17% lower than men’s. But
excluding GroupM UK (which only began reporting this year) as well as WPP
Health and Mediacom North (which no longer report due to changes in headcount)
from the dataset provides a better comparative view. With those companies
removed, the average gender pay gap at WPP’s British agencies is 18.1% – 3.5%
higher than last year and less than a 1% improvement on the same figure in
2018.
WPP
Brands, the corporate entity which includes VMLY&R, Landor & Fitch and
BCW, showed the worst increase, the gap rising 12.7% since last year, while
Wunderman Thompson’s gap rose 9.8.%.
Jennifer
Remling, WPP’s global chief people officer, said that although female
representation in high level roles was increasing at the group – when its new
CFO formally joins this year, 46% of its board positions will be held by women
– a disproportionate number of women hired into entry-level positions had
skewed its figures.
“The
gender pay gap is driven by an underrepresentation of women at the most senior
levels in our UK companies. Another factor is that we have attracted more
female early-career talent into entry-level roles,” she said. “Looking ahead,
we will continue to invest in and prioritize the development of women at all
levels, focusing on promoting a culture of continuous self-development. As part
of this, it is our commitment to ensure we give women the support and skills
they need and to identify opportunities for progression so that we can unlock
their full potential at WPP.”
Publicis
Groupe managed to close the average gap at its UK agencies 0.6% in the last
year and 1.44% since 2018. Those numbers are dragged down in particular by
Zenith – an outlier, but also one of the group’s biggest growth engines – while
BBH and Digitas boast some of the widest gender gaps found in our analysis.
The
median gap at Zenith increased significantly over the last 12 months, by 12.8%.
Zenith’s British chief executive officer Natalie Cummins told The Drum that the
company “had work to do” to close the gap.
“This
year’s report shows that we have work to do, as our gender pay gap has
increased for the first time since we began reporting in 2017. This is largely
due to a significant number of our most senior women recently moving from
Zenith UK to other roles in Publicis. We’re proud that our agency is a breeding
ground for senior female talent and fully supports the progression
opportunities that exist within our wider network, but we are not complacent
and know we have work to do.
“The
gap has dramatically narrowed since the snapshot date, but the numbers do give
us a good indication of where we need to focus to improve the imbalance, and we
are confident we will resolve this over the coming year.”
Publicis
and WPP’s agencies aren’t the only ones required to report. IPG, Omnicom,
Dentsu, Cheil and Havas’s businesses are also included, but since there are
fewer of them we’ve collated them into a single table. As a group, the picture
is only slightly sunnier; the average median pay gap is 14.5%, which is
slightly lower than WPP and Publicis but still higher than the UK average.
Havas
Media’s swing over the last 12 months was the worst of any agency in our
analysis, though the group’s chief people officer Ewen MacPherson argued that
the severity of the change was down to the end of a pandemic-era bonus policy.
MacPherson
told The Drum: “Bonuses across the industry are one of the significant drivers
in the gender pay gap calculation. For the reporting periods during the
pandemic – namely 2020 and 2021 – our senior leadership team elected not to
take a bonus in order to split the pool equally among all other employees as a
way to recognise their extraordinary efforts during those challenging years.
“This
decision positively skewed our reported figures during this period, leaving our
figures from 2020 and 2021 unrepresentative of our ordinary situation. That
said, while our overall trajectory – from 29% (mean) in 2017 to 24% in 2022 –
is heading in the right direction, there is much more to do and we are actively
working to continue to reduce this figure further.”
McCann
Erickson’s gap was the largest, with male staff paid on average 23.1% more than
female co-workers, while Havas Media recorded the largest change – up 22% from
a previous 3% difference in favor of women. OMD managed to close the gap 14% at
its EMEA business, bringing it down to 12%. IPG Mediabrands also succeeded in
reducing its difference by over 13%, down to 5%.
The
agencies shown here are indie businesses large enough to be required to report,
including luminaries of the UK scene such as VCCP and Oliver. Though there’s
encouraging signs – Oliver’s pay gap sits at zero – there’s also evidence of a
lack of progress at Kantar, Framestore, PHD and The Mill, all of which saw
their gaps increase.
Note:
WPP Health, Mediacom North, Spark 44 and M&C Saatchi have been excluded
from our industry-wide analysis as they were not required to report this year.
WPP 2005 isn’t an agency, but the holding company for the group. Dentsu
Manchester had not reported its figures at the time of publication.