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Policy reform must be matched by shifts in culture, hiring and progression

Thu, 5th Mar 2026

The government has launched new gender pay gap and menopause action plans ahead of International Women's Day, as business leaders warn that policy changes must be matched by concrete shifts in workplace culture, hiring and progression.

Guidance published by the Office for Equality and Opportunity targets employers with more than 250 staff. It urges them to reduce gender pay gaps, improve support for employees experiencing menopause, and share practical steps that promote fairer workplaces.

Commentators from the recruitment technology and software sectors welcomed the focus on structural barriers. Leaders in the automation industry also stressed the need for active inclusion within organisations.

Policy focus

The action plans are part of the government's response to persistent disparities in pay, labour market participation and mid-career retention of women. The guidance encourages employers to go beyond statutory reporting and review internal practices that shape hiring, promotion and retention.

Charles Hipps, founder and CEO of recruitment software provider Oleeo, said the measures highlighted the limits of transparency alone.

"Reporting the gender pay gap is an important first step, but transparency alone does not change outcomes. Real progress comes when organisations examine the structural factors shaping who is hired, who progresses and who ultimately leaves the workforce," Hipps said.

He pointed to labour market data showing rising unemployment among women-particularly younger workers-and to research linking economic gains to closing participation gaps.

"Recent labour market data shows female unemployment in the UK has been rising, with the overall female unemployment rate now at 4.7% and young women's unemployment climbing to 11.8%. At the same time, PwC's latest Women in Work Index shows rising numbers of young women not in employment, education or training. Their analysis suggests that closing this gap could add up to £11 billion to UK GDP. That tells us this is not only a fairness issue-it is an economic one," Hipps said.

Menopause at work

The menopause action plan urges organisations to introduce policies, training and flexible working for employees managing symptoms in mid-life. Officials say the guidance responds to evidence that many women reduce hours, step back from promotion or leave roles entirely because they lack workplace support.

"Menopause support is a critical yet often overlooked part of this conversation. Many women experience symptoms at the height of their careers. Without flexible working, supportive management and open policies, organisations risk losing experienced talent-with costs that are both personal and economic," Hipps said.

The guidance recommends reviewing sickness absence policies, training line managers, and encouraging dialogue with staff about adjustments that may help them stay in work.

Recruitment reform

Hipps said the success of any action plan would depend on whether employers address how people are hired. He argued that recruitment processes still filter out many women before they can progress.

"Policy alone will not close participation gaps if hiring systems continue to filter talent out before it reaches the workplace," he said.

He added that traditional recruitment often prioritises continuous employment and narrow definitions of experience, disadvantaging women who have taken time out for caring responsibilities or health reasons.

"Traditional recruitment processes still favour uninterrupted career paths and narrow definitions of 'relevant experience'. That can unintentionally disadvantage women who have taken career breaks for caring responsibilities or health challenges. Blind hiring (removing identifying details such as names, gender and educational institutions from applications) allows employers to focus on skills and potential. This reduces bias, widens the talent pool and helps ensure capability, not circumstance, determines who is hired," Hipps said.

He said hiring reforms, alongside menopause support and pay gap measures, could strengthen workforce resilience and productivity.

"Modern hiring practices, combined with menopause support and pay gap accountability, strengthen fairness, workforce resilience and long-term productivity," Hipps said.

Cultural inclusion

Technology leaders said structural policies must be backed by day-to-day inclusion practices. They highlighted the importance of confidence, allyship and active efforts to include minority voices in decision-making.

June Lee, Head of APAC and SVP Social Impact at automation platform provider Workato, said inclusion depends on deliberate behaviour, especially in environments where women or people from minority backgrounds are underrepresented.

"I have learned that inclusion does not happen by accident; it requires intentionality. Speaking up helps remind teams that there are different cultures and lived experiences in the room. I have frequently been that person, asking for context or explanations that others take for granted. It requires confidence, but it also improves the quality of dialogue and decision making for everyone. Progress requires the courage to speak up, to make mistakes, and to keep learning."

"Equally important is finding one or two allies who understand the value of diverse perspectives and will actively invite minority voices into the conversation. Having someone who will advocate for you when you are not in the room, reinforce your ideas, and ensure your contributions are recognised can make a significant difference, especially for women and minorities," Lee said.

"Inclusion is not about fitting in; it is about creating space for difference. When diverse voices are genuinely heard, teams become more creative, more empathetic, and ultimately more successful," she added.

Economic stakes

Business leaders said the guidance is part of a wider effort to maintain women's participation in the workforce and retain experienced staff through different life stages.

"The UK economy cannot afford to lose experienced women at mid-career or restrict the pipeline of women entering work. Policies that support women through key life stages, combined with fair recruitment and progression practices, are not just equality initiatives-they are essential economic infrastructure," Hipps said.