How far are you willing to go to bridge the gender pay gap? One male CEO is staking more than just his reputation to show his commitment to the cause and has announced that he is taking a dramatic pay cut so that it matches his female predecessor.
“At easyJet we are absolutely committed to giving equal pay and equal opportunity for women and men,” new easyJet CEO Johan Lundgren said in a statement to The Guardian. “I want that to apply to everybody at easyJet and to show my personal commitment I have asked the board to reduce my pay to match that of Carolyn’s when she was at easyJet.”
A commitment to ‘equal pay’
Lundgren, who joined the U.K. budget airline in December, will have his annual salary cut by £34,000 ($48,000) down to £706,000 ($994,000) — the amount his female predecessor, Carolyn McCall, made in her final year according to easyJet.
The announcement follows news that male employees were making about 52% more than female employees at the carrier. In the U.K., employers with more than 250 employees are required to disclose their payrolls to the government by April. Out of the 704 employers who had shared pay figures so far, easyJet had the third-largest mean gender pay gap. The airline said the pay imbalance was caused by the fact that higher-paid pilots were 94% male and that it had committed to making women 20% of new pilots hired by 2020.
As the top executive in the company, and figurehead of company’s values, his actions have outsized impact. A new male CEO being offered 5% more money than what a female CEO made during her eight-year tenure does not signal promising company values around pay equity, but by having its new CEO take a pay cut, easyJet is Read More Here