Strategic
Pay Gap & Wage Equity Governance
Vertical pay-ratio and wage-gap disclosure overseen by the remuneration committee.
Why pay-gap governance is a transparency obligation
Vertical pay disparities have become a focus of fair-pay legislation and public scrutiny, and the remuneration committee is expected to oversee and disclose them. King IV calls for fair, responsible and transparent remuneration, while the Employment Equity Act drives wage-gap reporting. AuditPro Core tracks the vertical pay ratio and wage-gap disclosures so that the remuneration committee can govern equity with evidence rather than assertion.
The Numbers
AuditPro Core renders this view from your tenant's live, tamper-evident records. The figures below are illustrative sample data.
Exec-to-median ratio
21:1
▲ 2
Exec-to-minimum ratio
47:1
Below living wage
8%
Remco oversight rating
Adequate
Pay ratio by occupational band
Wage equity indicators
| Metric | Value | Trend |
|---|---|---|
| Gini (internal) | 0.41 | Worsening |
| Gender pay gap | 11% | Improving |
| Living-wage shortfall | R 2.1 m | Stable |
Figures shown are illustrative sample data for demonstration. AuditPro Core renders these views from your own tenant's live, tamper-evident records.
The vertical pay ratio
This compares top-end remuneration to that of the lowest-paid employees, expressing the internal pay gap as a single figure. It gives the committee a concrete metric to interpret and explain rather than a vague sense of fairness.
Fair and responsible remuneration
King IV expects remuneration to be fair across the organisation and justifiable to stakeholders. A widening pay gap without explanation undermines the legitimacy of the remuneration policy.
Wage-gap disclosure
Amendments to the Employment Equity framework push employers toward disclosing income differentials. Reliable underlying data is what makes such disclosure defensible and meaningful.
How AuditPro Core Bridges the Gap
- Ratio computation: calculates the vertical pay ratio from payroll data across pay bands.
- Trend monitoring: tracks movement in the pay gap over reporting periods.
- Traceability to source: links the disclosed ratio to the underlying remuneration records.
- Audit-ready export: produces wage-equity disclosures for the remuneration report.
Key Takeaways
- The vertical pay ratio turns the internal pay gap into a governable metric.
- King IV expects remuneration to be fair, responsible and transparent.
- Defensible wage-gap disclosure depends on reliable payroll data.
- Track the ratio over time to explain and govern equity trends.
See This on Your Own Data
AuditPro Core renders this dashboard from your tenant's live, tamper-evident records — every figure traceable to source.