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Mike Wood: I am father to two beautiful children: my seven-year-old daughter Rebecca, and my four-year-old son Ben. To them, there is no such thing as a boy’s job or a girl’s job; maths and science are not off the radar for either of them. I want them to grow up in a society where girls of all ages have choices and opportunities every bit as much as boys. That is why I am so pleased that the Government are committed to eliminating inequality at every stage of life. For women in work, this must mean earning an equal wage. I welcome the progress that has been made so far in addressing the gender pay gap. The gap for full-time workers in my constituency has fallen from 30% in 2009 to 18% last year. I am proud of that progress, but there clearly remains far, far more to do if we are to eliminate the gender pay gap altogether and build the equal society that we all want.
As has been said, we now have zero all-male boards, and the number of female directors has doubled since 2011. The national living wage will mean higher wages for employees in the lowest-paid jobs—jobs that are disproportionately done by women. From April, 3.5 million women will benefit; that is almost a third of Britain’s female workforce. There are now nearly 30% fewer women unemployed in Dudley South than there were at the end of the Labour Government.
When looking at costs, we cannot ignore one of the biggest strains on working families’ budgets—the cost of childcare. That is why I welcome the increase in free childcare. Not only can families save up to £5,000 a year, but it means that we are finally returning choice to more families. More than 500,000 families will benefit, with many more parents and primary carers being able to afford the childcare that allows them to return to work and resume their career. This measure will finally give parents peace of mind when it comes to supporting their family, at the point of transition between being full-time parents and going to work.
Maria Miller Chair, Women and Equalities Committee
My hon. Friend makes an important point about childcare. He is right about choice, but does he agree that for many women, staying out of the labour market can be detrimental to their future career, so the availability of childcare allows them not only choice, but the right balance between being able to look after their children and continuing with their work to ensure that they maximise their future earnings for the benefit of their family?
Mike Wood: My right hon. Friend is right. One of the major contributors to the gender pay gap has been the impact on a career when a mother—it is almost always mothers—take a prolonged break from it. That break has an impact on mothers’ earnings when they resume their careers.
Jo Churchill Conservative, Bury St Edmunds
On the reduction in the gender pay gap for people under 40, in a large number of firms a greater proportion of fathers are now taking on a greater burden of the childcare, which will hopefully begin to ameliorate any differences in pay in the long term, leading to a much more balanced approach to both gender pay and family care.
Mike Wood: I could not agree more. The work that the Government have done on flexible parental leave will be of enormous value to many families not only in my constituency, but around the country.
If there is one thing by which we measure society, it is surely how it treats those who have contributed all their lives—those who have worked hard and paid into the system. That includes those who, as has been said, have spent many years raising children. We recognise that contribution in society, and it is right that we should do the same through the state pension system. It is fair that the years that parents—again, disproportionately mothers—spend outside the full-time workforce raising children will go towards their pension pot. Sixty-one per cent. of our women will see their pension rise as a result of this reform. That is equality in action.
Women in Dudley South and throughout the country will certainly be better off as the economy continues to grow, as wages continue to rise, and as more and more people continue to find work. It does not matter where they are on their journey in life—this Government are working hard to transform our country so that whether people are starting their first job, bringing up their first child or enjoying their retirement, there is no longer any disparity between the genders. Sadly, it is not a transformation that will happen overnight. It is not a simple task, but it is a vital moral mission, and one that I am proud to support.