Regulatory Alerts2024-04-17
Added · Updated
Circular No. 10 of 2024 – Disclosure of Gender Pay Gap Data in Annual Report
The Securities and Exchange Commission of Pakistan requires the board of directors of listed companies to prepare and include a statement on the gender pay gap in their annual reports and make it available on their websites. This obligation applies to financial years ending on or after June 30, 2024, and mandates the disclosure of mean and median gender pay gaps calculated based on hourly rates of pay for full-pay relevant employees.
SECURITIES & EXCHANGE COMMISSION OF PAKISTAN
(Chairman’s Secretariat)
No. SECP/CS/MC/17
Date: April 17, 2024
Circular 10 of 2024
Subject: Disclosure of Gender pay gap data in annual report
In continuation to its earlier Circular no. 07 of 2021 dated March 12, 2021 regarding Gender Diversity, the Securities and Exchange Commission of Pakistan (“the Commission”) in exercise of powers conferred under Section 510 of the Companies Act, 2017 (XIX of 2017) is pleased to direct the board of directors of listed companies to prepare and include in the annual report, a statement on gender pay gap and also make it available on their website. A suggestive template for the statement along with guidance on calculation of gender pay gap is provided for facilitation of listed companies. The Circular is applicable on listed companies for financial year ending on or after June 30, 2024.
Musarat Jabeen
Executive Director
Distribution:
- All listed companies
- The Pakistan Stock Exchange Limited, Karachi
- The President, Institute of Chartered Accountants of Pakistan, Karachi
- The President, Institute of Cost and Management Accountants of Pakistan, Karachi
SECURITIES & EXCHANGE COMMISSION OF PAKISTAN
(Chairman’s Secretariat)
Suggestive Format for Gender pay gap statement under Circular 10 of 2024
Name of Company
Gender pay gap statement under Circular 10 of 2024
Following is gender pay gap calculated for the year ended ___________ :
(i) Mean Gender Pay Gap:
(ii) Median Gender Pay Gap:
(iii) Any other data/ details as deemed relevant.
(Signed by CEO/ director on behalf of Board of Directors of the Company)
Date:
Notes for guidance:
(i) Calculation for mean gender pay gap
(A-B) x 100
A
where A: The mean hourly rate of pay of all male full pay relevant employees
and B: The mean hourly rate of pay of all female full pay relevant employees
(ii) Calculation for median gender pay gap:
(C-D) x 100
C
Where C: The median hourly rate of pay of all male full pay relevant employees
And D: The median hourly rate of pay of all female full pay relevant employees
(iii) Full-Pay relevant employees means those employees being paid their full basic in the relevant pay period. It includes cash allowances, holiday and leave pay, shift premium pay, as applicable.
(iv) Full pay excludes overtime, on-call payments, pension contributions, termination/Notice pay, non-cash benefits such as car benefits etc., interest free loans, payments relating to other pay periods such as arrears.