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Gender pay gap reportOctober 2020

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At Abcam, we exist to serve life scientists to help them achieve their mission, faster. We achieve our best when our many diverse characteristics and backgrounds come together in pursuit of this purpose. We all bring our own unique attributes to work each day and every one of us plays a key role in delivering the promise we make to our customers.

Our lead figures for this year’s UK Gender Pay Gap report are a mean pay gap of 28% and a median pay gap of 26.9%, and a mean bonus gap of 68.3% with a median bonus gap of 36.2%. Compared to last year, this represents an increase to our pay gap and bonus gap figures. These figures are based on pay information from April 2020. Our 2018 and 2019 results are disclosed from page 12.

The starting point for building change and reducing our pay gap is an honest assessment of where we are today, and we still have too few women in our most senior positions. To reduce our Gender Pay Gap we are accelerating our efforts to recruit and bring women through our organisation into these roles.

When we published our first gender pay gap results in April 2018, we set out a range of actions aimed at achieving greater gender balance at all levels of our organisation. Over the two years since, we have implemented a new family leave policy which brings enhanced provisions for both men and women, complementing our flexible working policy.

Introduction

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Global family leave policy

We want to offer all of our people a support structure that provides choice and empowers them to mange their work and life balance.

To that end, we are proud to offer a family leave policy which offers all of our people globally, 6 weeks fully paid paternity leave and 18 weeks fully paid maternity leave. Our longer-term aspiration is to offer gender neutral family leave.

We have continued to focus on achieving our recruitment target of having at least one female candidate on every shortlist for senior leadership vacancies. We have embedded our new performance management approach - Performance with Purpose – and a scientific approach to measuring potential with the aim of reducing unconscious and subjective bias in the development of our people plans.

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We believe that the actions we have taken to date will make a positive measurable difference over the longer term. Still, we are determined to accelerate that change. Set out below are a new set of initiatives aimed at closing our gender pay gap, faster.

Leadership

– Introduce Diversity & Inclusion targets linked to Senior Leadership bonus

– Establish functional targets to create greater gender balance

Reward

– Equal Pay audit. We will partner with an external advisor to validate our approach to equal pay at Abcam

Talent Acquisition

– Increase our target (from 1) to have at least 2 women on every shortlist and report on % of senior roles that had at least 2 women on the shortlist

– Employ gender neutral recruitment advertisements using software designed to filter out unconscious bias from our recruitment campaigns

– Have gender mixed selection panels where possible

Training and Development

– Accelerated growth, embedding our scientific and objective approach to measuring potential and target at least 50% women on high potential development programmes

– Diversity & Inclusion leadership training introduced across all of our management and leadership programmes

– Unconscious bias training implemented across Abcam to raise awareness of our unconscious biases and provide tools to adjust our automatic patterns of thinking

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To continue to drive awareness and desire to make a difference to gender equality, we will also:

– Initiate discussions and engagement with our senior leadership teams to reaffirm Diversity & Inclusion topics as a priority

– Report regular progress updates to our senior leadership teams on Diversity & Inclusion data to provide focus

– Engage functional leadership teams through our Women in Leadership group with data and proposed actions to promote awareness and ownership

– Appoint an Inclusion Manager to provide focus to programme management and implementation

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“I confirm the gender pay gap data in this report is accurate.

Nick Skinner SVP Human Resources

Our gender pay gap is driven by too few women at senior job levels across our business. Ultimately, changing this imbalance will not be immediate but we believe that the initiatives we have implemented so far, and the new actions we have committed to this year, will stimulate measurable and sustainable change over the long term.

Our objective

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How we measure our gender pay gap

What is the gender pay gap?

The gender pay gap is a measure of the difference in the mean and median pay of men and women, regardless of the nature of their work, across our UK organisation.

The gender pay gap does not measure equal pay. Equal pay relates to what women and men are paid for the same or similar jobs or work of equal value. In the UK, it has been illegal to pay women and men unequally for almost 50 years. We review our pay practices to safeguard that issues with equal pay are not encountered.

Legislative requirements

All UK companies with 250 employees or more on 5 April 2020 are required to report the following gender pay gap data:

– The difference in mean and median pay between male and female employees (based on hourly rates of pay as at 5 April 2020)

– Difference in mean and median bonus pay between male and female employees (based on bonus pay received in the 12 months preceding 5 April 2020)

– The proportion of male and female employees who received bonus pay

– The proportion of male and female employees across four proportional pay bands

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What is the mean?

The mean is the average of all the numbers in a set. It is calculated by adding all of the numbers together then dividing by how many numbers in total there are.

What is the median?

The median is the middle of a sorted list of numbers. It is calculated by placing all of the numbers in value-order and finding the middle.

Mean hourly pay gap

Number of male employees

Mean male pay

Mean female pay

The di erence

Number of female employees

Lowest hourly pay

Median hourly pay

Highest hourly pay

Di erence Median hourly pay gap

Mean hourly pay gap

Number of male employees

Mean male pay

Mean female pay

The di erence

Number of female employees

Lowest hourly pay

Median hourly pay

Highest hourly pay

Di erence Median hourly pay gap

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Mean hourly pay

Median hourly pay

Mean bonus pay

Median bonus pay

United Kingdom

Our gender pay gap results

0

0

2018

20.2%24.9%

28.0%

20202019 2018

15.8%20.5%

26.9%

20202019

48%38.3%

68.3%

-3.6%

-6.8%

6.0%0

0

0

-46.2%

36.2%

-2.3%

-8.9%

62.7%46.9%

-18.1% -15.8%

23%13%

5.2%

10.4% 8.4%

1.6% 19% 25.1%

0

-44.2%

3.7%

42.2%

1.5% 18.4% 25.3%

19.1%

9.5% 4.1% 13.6% 18.1% 12.8%

2018

69.2%68.7%

2019 2018

77.4%

68.7%

2019

UK

USA

CHINA

HONG KONG

2018 20202019 2018 20202019

2018 20202019 2018 20202019

2018 20202019 2018 20202019

-36.8%

-15.6%

2018 20202019 2018 20202019

2018 20202019 2018 20202019

2018 20202019 2018 20202019

0

0

2018

20.2%24.9%

28.0%

20202019 2018

15.8%20.5%

26.9%

20202019

48%38.3%

68.3%

-3.6%

-6.8%

6.0%0

0

0

-46.2%

36.2%

-2.3%

-8.9%

62.7%46.9%

-18.1% -15.8%

23%13%

5.2%

10.4% 8.4%

1.6% 19% 25.1%

0

-44.2%

3.7%

42.2%

1.5% 18.4% 25.3%

19.1%

9.5% 4.1% 13.6% 18.1% 12.8%

2018

69.2%68.7%

2019 2018

77.4%

68.7%

2019

UK

USA

CHINA

HONG KONG

2018 20202019 2018 20202019

2018 20202019 2018 20202019

2018 20202019 2018 20202019

-36.8%

-15.6%

2018 20202019 2018 20202019

2018 20202019 2018 20202019

2018 20202019 2018 20202019

0

0

2018

20.2%24.9%

28.0%

20202019 2018

15.8%20.5%

26.9%

20202019

48%38.3%

68.3%

-3.6%

-6.8%

6.0%0

0

0

-46.2%

36.2%

-2.3%

-8.9%

62.7%46.9%

-18.1% -15.8%

23%13%

5.2%

10.4% 8.4%

1.6% 19% 25.1%

0

-44.2%

3.7%

42.2%

1.5% 18.4% 25.3%

19.1%

9.5% 4.1% 13.6% 18.1% 12.8%

2018

69.2%68.7%

2019 2018

77.4%

68.7%

2019

UK

USA

CHINA

HONG KONG

2018 20202019 2018 20202019

2018 20202019 2018 20202019

2018 20202019 2018 20202019

-36.8%

-15.6%

2018 20202019 2018 20202019

2018 20202019 2018 20202019

2018 20202019 2018 20202019

0

0

2018

20.2%24.9%

28.0%

20202019 2018

15.8%20.5%

26.9%

20202019

48%38.3%

68.3%

-3.6%

-6.8%

6.0%0

0

0

-46.2%

36.2%

-2.3%

-8.9%

62.7%46.9%

-18.1% -15.8%

23%13%

5.2%

10.4% 8.4%

1.6% 19% 25.1%

0

-44.2%

3.7%

42.2%

1.5% 18.4% 25.3%

19.1%

9.5% 4.1% 13.6% 18.1% 12.8%

2018

69.2%68.7%

2019 2018

77.4%

68.7%

2019

UK

USA

CHINA

HONG KONG

2018 20202019 2018 20202019

2018 20202019 2018 20202019

2018 20202019 2018 20202019

-36.8%

-15.6%

2018 20202019 2018 20202019

2018 20202019 2018 20202019

2018 20202019 2018 20202019

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The year-on-year increases to hourly and bonus pay gaps are primarily driven by a higher proportion of external new hires at our more senior job levels being men. The movement in bonus pay is also skewed by sign-on arrangements and by exercised awards under our share plans during the years to April 2020.

Pay quartiles Proportion receiving bonus

Female % Male %

2020 22%

2019 20%

2018 22%

2020 24%

2019 26%

2018 30%

2020

Top

Upper middle

Lower middle

Lower

20182019

35% 65% 41% 59% 39% 61%

2020 20182019

2020 20182019

2020 20182019

53% 47% 51% 49% 51% 49%

65% 35% 65% 35% 62% 38%

57% 43% 62% 38% 58% 42%

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