Top leaders from some of Britain’s most influential and successful companies are being rallied to help deliver the new progress for greater female representation in business, backed by government support. The event, hosted at KPMG’s offices in London, will see Sir Philip Hampton, Chair of GlaxoSmithKline, and Dame Helen Alexander, Chair of UBM, lead a team of influential leaders from a diverse range of industries from banking to engineering. They will undertake a new review on improving female representation in leadership positions of British business, broadening the ambition to the entire FTSE 350 and raising the target to 33% of women on boards by 2020.
The review will focus on ensuring the very best of female talent make their way up the pipeline by removing barriers to their success, and continue to drive forward the momentum from Lord Davies’s work – which pushed the numbers of females on FTSE 100 boards up from 12.5% to 26%. The focus for the work on the pipeline will be on representation on executive committees and direct reports
to the executive committee in FTSE 350 companies. Sir Philip Hampton said: It is clear that gender balance on FTSE boards has undergone a dramatic shift in recent years and this progress continues. However, we must significantly increase the number of women in senior leadership roles if we are to harness the skills of women for the benefit of business and the UK economy. Minister for Women and Equalities Nicky Morgan said: This government has prioritised equality for women, pushing for greater representation in business and providing young women with the role models that inspire them and their career choices. We have already made huge progress – having increased the percentage of women on FTSE 100 boards from 12% to 26%. But now is not the time to pat ourselves on the back and say ‘job well done’ – we must be even more ambitious. That’s why I am delighted that Sir Philip and Dame Helen will be heading up such a prestigious team of Britain’s best and brightest leaders to drive this ambition forward. The expertise and passion of all the people involved leave me with no doubt that we will continue to see a genuine culture
change at the heart of British business. This isn’t just important for women – it’s critical for our economy – that’s why I want to see greater representation from the classroom to the boardroom. Sir Philip and Dame Helen have already begun taking action by engaging with executive search firms, business leaders, academics and other key parties on how best to improve the female pipeline within the FTSE 350. A key element of the review will also consider current research on how to drive improvements and the obstacles preventing women’s progression. It is expected that findings will be presented to government by the end of 2016.
Corporate Governance Minister Baroness Neville-Rolfe said: We have seen an increase of 137% in the number of women on boards. Yet 15 boards in the FTSE 350 are still all male and women only count for 7% of executive directors. Philip Hampton and Helen Alexander will examine how to improve the representation of women in the executive layer and champion continued increases in the representation of women on boards across the FTSE 350. This will help to ensure a sustainable talent pool of women for board positions for both executive and non-executive positions in the future. The announcement comes as the new 2016 Female FTSE Board Report is released by Cranfield University, City University London and Queen Mary University London, which shows that the overall percentage of women on FTSE boards has increased compared to March 2015. In order to meet the 33% target for FTSE 350 boards by 2020, a constant turnover is required and an appointment rate of 1 in 3 board positions going to women.
Recently turnover rates have decreased, with fewer people leaving and joining companies, and the percentage of new appointments going to women over the past 6 months dropping below the 1 in 3 required to meet the 33% target.
