Global Pay Equity at Citi
By Sara Wechter, Head of Human Resources January 16, 2019 09:00 AM
Citi’s commitment to diversity and inclusion is longstanding. Last year, Citi was the first financial institution to publicly release the results of a pay equity review comparing compensation of women to men, and U.S. minorities to U.S. non-minorities. Our review was conducted in three countries representing 36% of our workforce, with a commitment to do the work across all countries where we currently have colleagues. We did this because we believe increasing our transparency in this critical area is the best way to hold ourselves accountable for making progress.
As we committed, this year we extended our pay equity review to cover all of our colleagues globally. Like last year, our review adjusted pay to account for a number of factors to make the comparisons meaningful, including job function, level and geography. On this adjusted basis, we found that women globally are paid on average 99% of what men are paid at Citi. We also repeated the assessment for U.S. minorities and are pleased that after last year’s actions, there was no statistically significant difference between what U.S. minorities and non-minorities are paid at Citi. We made pay adjustments as part of this year’s compensation cycle following our review.
Today, we’re also being transparent about another piece of information. We’ve calculated our unadjusted or “raw” pay gap for women and U.S. minorities – which measures the difference in median total compensation when we don’t adjust for factors such as job function, level and geography. This analysis shows that the median pay for women globally is 71% of the median for men, and the median pay for U.S. minorities is 93% of the median for non-minorities. This reiterates the importance of our goals to increase representation of women and U.S. minorities in senior and higher-paying roles at Citi. That is how we will reduce the difference in our raw pay gap numbers over time. As a starting point, our goal is to increase representation at the Assistant Vice President through Managing Director levels to at least 40% for women globally and 8% for Black employees in the U.S. by the end of 2021.
We know we need a comprehensive approach to our diversity initiatives to make the progress we want to see. In addition to the compensation work and representation goals, we have senior level accountability for our representation efforts, and we’re working to continue to increase diversity by focusing on targeted recruitment, development and retention, and improved promotional paths and processes.
We have work to do, but we’re on a path that I’m confident will allow us to make meaningful progress. Already, more than 50% of our colleagues globally are women and more than 45% of our U.S. workforce are minorities; our senior leaders chair our Affinity groups and are accountable for diversity goals; and more than 80% of our colleagues have participated in unconscious bias training. We are proud to be included among the leading companies selected for the 2019 Bloomberg Gender-Equality Index (GEI) released today, which distinguishes companies committed to transparency in gender reporting and advancing women’s equality.
You’ve heard our leaders say it before – to be a high-performing organization, we need a team that is representative of the places where we operate and the clients we serve. Much work is being done to live up to that goal. Citi has a strong record of action on important issues related to diversity, inclusion and equality, which we hope will benefit not only Citi colleagues, but others as well.