Bank of America, Credit Suisse and Morgan Stanley disclose big UK gender pay gaps

LONDON (Reuters) – Bank of America Merrill Lynch (BAML) (BAC.N), Credit Suisse (CSGN.S) and Morgan Stanley (MS.N) all revealed large gender pay gaps in their British operations on Tuesday, the latest banks to report lower average hourly pay for women, largely caused by fewer female staff holding top roles.

FILE PHOTO: The company logo of the Bank of America and Merrill Lynch is displayed at its office in Hong Kong March 8, 2013. REUTERS/Bobby Yip

Morgan Stanley had a mean gender pay gap of 42.8 percent for 2017, a spokesman for the U.S. bank told Reuters. Credit Suisse put its gap at 39.2 percent and Bank of America reported a difference of 28.7 percent.

The British government has ordered thousands of large UK employers to disclose their gender pay gaps by April 5.

Credit Suisse’s UK chief executive and group chief financial officer David Mathers sent a memo to all UK staff, which Reuters saw.

“For me, these numbers are disappointing, and while they reflect an improvement, there is clearly much work to be done,” Mathers wrote, referring to the fact that the median pay gap had improved to 28.9 percent in 2017 from 31.9 percent in 2016.

All three banks said the main cause of the gap was the higher proportion of men in senior roles.

“Addressing this gap through a more gender-balanced workforce at our own organization, and across the broader financial services industry, will take time,” said Sheri Bronstein, BAML’s global human resources executive, in the bank’s report.

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The gender pay gap measures the difference between the average hourly salary of men and women.

The pay disparity for bonuses is even higher, with Bank of America and Credit Suisse reporting mean gender bonus gaps of 57.9 percent and 70.2 percent respectively.

Morgan Stanley’s mean bonus gap was 72.7 percent, the spokesman said.

BAML’s gender pay gap was smaller than the corresponding figure reported by rival U.S. bank Goldman Sachs (GS.N), which disclosed a gender pay gap of 55.5 percent earlier in March.

BAML also reported gender and bonus pay gaps in its international business and Bank of America and Merrill Lynch divisions.

At Bank of America Merrill Lynch International Ltd, the mean gender pay and mean gender bonus gaps stood at 17.1 percent and 38.8 percent respectively.

At Merrill Lynch International these were 36.7 percent and 59.5 percent respectively, and at Bank of America N.A.’s London branch — 33.4 percent and 63.7 percent respectively.

editing by Sinead Cruise and Kevin Liffey

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