International Equal Pay Day 2025: What it is, why it matters, and how to close the gap

Dave Stopher

2 days ago

At a glance

When: 18 September 2025
What: A UN-backed day of action to accelerate equal pay for work of equal value and close the gender pay gap. The UN General Assembly formally proclaimed the observance in 2019, supported by the Equal Pay International Coalition (EPIC: UN Women, ILO, OECD). equalpayinternationalcoalition.org+1
Why it matters: Globally, women still earn about 77 cents for every dollar earned by men, with wider gaps for mothers and many women of colour and migrant women. United Nations+1

International Equal Pay Day explained

International Equal Pay Day shines a spotlight on the principle that men and women must receive equal pay for work of equal value—the standard set out in the ILO’s Equal Remuneration Convention (No. 100). “Equal value” doesn’t just mean identical jobs. It means different roles that require comparable skill, effort, responsibility and working conditions should be rewarded on the same basis, without sex-based discrimination. Normlex+1

The date—18 September—was chosen when the UN General Assembly adopted a resolution in 2019, backed by 105 co-sponsoring countries following EPIC’s initiative. Since then, governments, employers, trade unions and civil society groups use the day to report progress, launch transparency measures and—crucially—fix the systems that keep pay unequal. equalpayinternationalcoalition.org+1

Equal pay vs. the gender pay gap (and why both matter)

Equal pay is a legal requirement: paying people the same for the same, similar, or equivalent work. In the UK, this sits within the Equality Act 2010 and related guidance. If two workers are doing equal work for the same employer, they must be paid equally regardless of sex. GOV.UK+1
The gender pay gap is a descriptive pay difference between men and women on average, across an employer, industry, or country. It reflects structural issues (e.g., job segregation, part-time work concentration, career interruptions) and not necessarily unlawful unequal pay in each case. The UK requires large employers to publish their pay gap annually. GOV.UK

Both concepts are essential: equal pay enforces fairness at the job level; pay gap analysis reveals wider patterns that need policy and culture change.

The global picture in 2025

Despite progress, the global gender pay gap persists. UN and World Bank analyses repeatedly find that women earn roughly 77% of men’s earnings on average. That shortfall compounds across a lifetime—reducing savings, pensions and economic security. The World Bank also estimates that closing gender gaps in work and pay could lift global GDP significantly over time by removing legal and practical barriers that hold women back. United Nations+2World Bank+2

The UN’s 2024 gender snapshot underscores that improving women’s productivity and eliminating wage gaps can measurably raise global output—benefits that flow to households, firms and entire economies. UN Women

The UK in 2025: where do we stand?

Latest official data: According to the Office for National Statistics (ONS), in April 2024 median hourly pay (excluding overtime) for full-time employees was £19.24 for men and £17.88 for women. That’s a measurable, if narrowing, gap; part-time patterns differ and complicate the national average. ONS publishes the full breakdowns by age, sector and working pattern. Office for National Statistics+1

Reporting duty: UK employers with 250+ employees must publish annual gender pay gap figures to the government’s service (and on their own site) within a year of a “snapshot” date. The guidance explains who must report, what metrics to publish (mean/median, quartiles, bonuses) and how to calculate them. GOV.UK+1

Equal pay law: Separate from the pay gap duty, UK law requires equal pay for equal work (or work of equal value). ACAS provides practical guidance on how employers must comply and how employees can challenge disparities. Acas

Best-practice policy: The Equality and Human Rights Commission (EHRC) advises employers to adopt a distinct, explicit equal pay policy and conduct regular equal pay reviews to detect and fix risks. Equality and Human Rights Commission

The EU Pay Transparency Directive (why UK employers should still care)

Even post-Brexit, many UK-based firms operate within the EU. The EU Pay Transparency Directive (adopted in 2023) requires member states to implement sweeping transparency and reporting rules by 7 June 2026. Highlights include: salary range disclosure during recruitment, bans on salary-history questions, employee rights to pay information, mandatory reporting for employers with 100+ staff, and joint pay assessments when any category shows a gap above 5% that can’t be objectively justified and isn’t fixed within six months. Consilium+2www.hoganlovells.com+2

If your company hires in the EU, sources talent there, or competes with EU employers for candidates, these rules will shape market expectations—and may quickly become de-facto standards across borders. Equity Methods

What actually drives gender pay gaps?

Occupational segregation: Women and men cluster in different roles and functions with different pay trajectories.
Part-time and flexible work penalties: Reduced hours often mean slower progression and smaller bonuses.
Career interruptions: Maternity and caregiving breaks coincide with key promotion windows.
Opaque pay systems: Discretionary, unstructured pay leads to drift and bias.
Evaluation bias: Roles dominated by women may be undervalued relative to male-dominated roles of comparable value—precisely why C100 stresses equal pay for work of equal value. Normlex

The business case for acting now

Organisations that fix pay equity and shrink their gaps typically see stronger attraction and retention, improved engagement and productivity, and fewer legal and reputational risks. At macro scale, the World Bank links closing gender gaps to meaningful GDP gains—and firms that move early benefit from a larger, more motivated talent pool. Reuters

A 12-step employer action plan for Equal Pay Day (and every day)

Publish a clear Equal Pay Policy. Make your commitment explicit; define roles, responsibilities and governance. (EHRC offers a model for what good looks like.) Equality and Human Rights Commission
Map job architecture and level roles. Build a transparent framework of families, functions and levels so like-for-like comparisons are possible.
Run a robust equal pay review. Compare men vs. women by like job/level/location; control for legitimate, gender-neutral factors (e.g., tenure, qualifications) and flag unexplained gaps. Document methods and remediation decisions. (ILO supports gender-neutral job evaluation.) International Training Centre of the ILO
Fix issues fast. Close unjustified gaps with targeted pay adjustments; avoid “smoothing” over people who are underpaid now. Track ongoing parity after merit/bonus cycles.
Introduce structured pay bands. Calibrate bands to market data; require documented rationales for off-cycle or out-of-band decisions.
Make pay transparent in hiring. Share salary ranges in job ads or before interviews; don’t ask for salary history; explain objective criteria for pay and progression. (This approach aligns with the EU directive trend.) Consilium+1
Standardise offers and promotions. Use consistent rubrics; require diverse panels for senior hiring and promotion boards; audit outcomes quarterly.
Rethink performance and bonus metrics. Cap manager discretion; stress measurable outcomes; audit distributions for bias.
Support parents and carers. Enhance parental leave, equalise pay for maternity/paternity leave where you can, and offer high-quality flexible work options without career penalty. (Global evidence ties childcare and leave to better female labour participation.) The Guardian
Invest in progression pipelines. Rotate high-potential women into profit-and-loss roles, technical tracks and sales leadership; fund returnships and upskilling.
Report and engage. For UK organisations with 250+ employees, publish gender pay gap data annually and add a narrative action plan that your people can trust. GOV.UK
Review suppliers. Encourage key suppliers to adopt similar pay transparency and equity standards; it multiplies impact across your value chain.

How to run a pay equity audit (practical walkthrough)

1) Set scope & assemble clean data.
Gather employee records (job title, job level, function, location, FTE status, tenure, performance ratings) and pay elements (base, allowances, bonus, stock). Ensure consistent job levels across business units.

2) Define comparison groups.
Use your job architecture to create like-for-like cohorts (e.g., Job Family = Data Science; Level = Senior; Location = Manchester). If roles differ, apply a gender-neutral job evaluation method to determine “equal value” cohorts. International Training Centre of the ILO

3) Choose methods.

Descriptive: Compare median and mean pay by sex for each cohort.
Regression: Model pay as a function of legitimate variables (e.g., level, tenure) plus a sex indicator. A significant negative coefficient for women suggests unexplained disparity.
Distribution checks: Look for skews at the top/bottom of bands; inspect bonus and equity grants.

4) Diagnose drivers.
Are women clustered at lower levels? Are flexible workers missing out on bonuses? Where are promotion rates diverging?

5) Remediate.
Set aside a budget to correct within-cohort gaps now. For structural gaps (e.g., low female representation at senior levels), create hiring and progression targets with timelines.

6) Make it continuous.
Re-run analysis after each merit cycle and major reorg; monitor hiring offers and promotion outcomes monthly.

Reporting in the UK: what, when, and how

If you employ 250+ people, you must publish:

Mean and median hourly pay gap
Mean and median bonus gap
Proportion receiving a bonus
Pay quartiles (men/women split in each band)

Publish within one year of the snapshot date and keep the report accessible for three years on your site and on the government portal. Build a single source of truth (HRIS + payroll) and assign clear internal owners for data quality. GOV.UK+1

Policy moves that work (and why your voice matters)

Transparency: Salary ranges and objective pay criteria reduce arbitrary differences. The EU’s approach will require action when a >5% gap is detected and not justified—an accountability mechanism many advocates want to see everywhere. Consilium
Childcare & leave: Affordable childcare and equitable parental leave raise women’s participation, narrowing gaps over time. The Guardian
Enforcement: Laws are only as effective as their implementation; global studies show legal protections still lag in practice. Reuters

Businesses can add their weight by backing these reforms, sharing data, and standardising fair, transparent pay practices across their sectors.

FAQs about International Equal Pay Day 2025

When is International Equal Pay Day?
It’s observed every year on 18 September; in 2025 that falls on Thursday, 18 September 2025. The UN General Assembly established the observance in 2019. equalpayinternationalcoalition.org

What does “equal pay for work of equal value” mean?
It means paying fairly not only for the exact same job, but also for different jobs of comparable value based on neutral criteria like skills, effort, responsibility and working conditions—per ILO Convention 100. Normlex

Is equal pay already the law in the UK?
Yes. The Equality Act 2010 and case law require equal pay for equal work. Pay gap reporting is a separate, additional requirement for large employers. GOV.UK+1

What’s the UK’s latest gender pay gap?
ONS data for April 2024 shows a national gap in median hourly pay (full-time) between men and women—details vary by sector, age and working pattern. Check ONS for the latest figures and tables. Office for National Statistics

How does the EU Pay Transparency Directive affect UK companies?
If you operate or recruit in the EU, expect to disclose salary ranges, stop asking salary history, publish pay-gap reports (100+ employees) and conduct a joint pay assessment if any category shows an unjustified >5% gap. Deadline for EU countries to adopt rules is 7 June 2026. Consilium+1

Why does the global 77-cents figure keep appearing?
Because many international datasets converge around that estimate. UN Women and the World Bank both reference the ~77 cents per $1 earnings ratio as a shorthand for the persistent worldwide gap. UN Women+1

Content ideas and activations for Equal Pay Day 2025 (for employers and media teams)

Publish your plan: Pair your gender pay gap data with a clear, time-bound action plan and mid-year progress updates. GOV.UK
Job ad refresh: Add salary ranges and transparent criteria to all postings; run a week-long “range reveal” campaign for high-volume roles. Consilium
Manager training: Host 60-minute sessions on consistent pay decisions, bonus calibration, and bias interruption techniques.
Returnship spotlight: Launch a paid returnship cohort for caregivers re-entering the workforce; track conversion rates and pay parity at offer.
Vendor pledge: Ask key suppliers to adopt equal-pay policies and share their own gender pay metrics annually.
Employee resource groups: Co-design promotion criteria clarity projects with women’s networks and caregiver groups.