Recommendations & Conclusions
6 items
1
Conclusion
Sixth Report - Sexism in the City
Acknowledged
Our inquiry has revealed incremental improvements for women working in financial services on certain metrics, such as the proportion of women holding senior roles. Overall, there has been a disappointing lack of progress on sexual harassment and bullying, including serious sexual misconduct. Despite the best efforts of some far too …
Read more
Our inquiry has revealed incremental improvements for women working in financial services on certain metrics, such as the proportion of women holding senior roles. Overall, there has been a disappointing lack of progress on sexual harassment and bullying, including serious sexual misconduct. Despite the best efforts of some far too little progress has been made and serious problems which should have been rooted out still persist. Significant concern remains, however, about the overall culture prevalent within the sector that holds back progress for women. While this Report deals with various challenges experienced by women in financial services, whether related to pay, harassment or maternity leave, as examples, it is this cultural deficit that allows them all to persist. Culture is also the most difficult area to seek to reform. (Paragraph 5) Diversity and inclusion
Show less
Government response AI summary
The government welcomed the report and agreed with the Committee's observations about the importance of diversity and inclusion, and the slow progress towards gender balance, but committed to no new specific actions.
Read full response →
HM Treasury
24
Conclusion
Sixth Report - Sexism in the City
Acknowledged
We have been appalled by testimonies we have received about the prevalence of sexual harassment in the financial services industry, including from some of the brave women who told us about their experiences at our own private roundtable event. Although sexual harassment against women is a societal problem, it is …
Read more
We have been appalled by testimonies we have received about the prevalence of sexual harassment in the financial services industry, including from some of the brave women who told us about their experiences at our own private roundtable event. Although sexual harassment against women is a societal problem, it is worse in financial services than in many other sectors. This is completely unacceptable, and it is clear that further urgent action is required.
Show less
Government response AI summary
The government welcomes the Committee's report, agrees that regulators have an important role in promoting diversity and inclusion, and is prioritizing work on non-financial misconduct, including sexual harassment and bullying.
Read full response →
HM Treasury
25
Conclusion
Sixth Report - Sexism in the City
Acknowledged
Firms need to adopt a zero-tolerance approach towards sexual harassment and abuse and take concrete action to embed this approach within their organisations. Impunity for perpetrators, who are often well known in their organisations for serial offending, must end. As well as being the right thing to do, several high- …
Read more
Firms need to adopt a zero-tolerance approach towards sexual harassment and abuse and take concrete action to embed this approach within their organisations. Impunity for perpetrators, who are often well known in their organisations for serial offending, must end. As well as being the right thing to do, several high- profile cases in 2023 show the potential negative impact on a firm if it fails to tackle sexual harassment by its staff. Senior leadership and boards need to take ownership of this issue and ensure that processes for handling complaints result in thorough investigations, protect those making the allegations, and result in appropriate consequences for those found to have perpetrated abuse or harassment. Firms should consider whether their human resources departments are able to fulfil this function, or whether there is a need to establish a separate, more independent process that reports directly to the senior leadership or board. (Paragraph 157) Sexism in the City 43
Show less
Government response AI summary
The government welcomes the report, agrees on the regulators' role in promoting diversity and inclusion, and is prioritizing work on non-financial misconduct, including sexual harassment and bullying, while considering consultation responses to their D&I proposals.
Read full response →
HM Treasury
30
Recommendation
Sixth Report - Sexism in the City
Acknowledged
Given the potential overlap between the aims of the Worker Protection Act, which will be enforced by the Equality and Human Rights Commission (EHRC), and the proposals by the Financial Conduct Authority (FCA) on handling sexual misconduct in financial services, we recommend that the EHRC and the FCA clarify how …
Read more
Given the potential overlap between the aims of the Worker Protection Act, which will be enforced by the Equality and Human Rights Commission (EHRC), and the proposals by the Financial Conduct Authority (FCA) on handling sexual misconduct in financial services, we recommend that the EHRC and the FCA clarify how they will work together to enforce the Worker Protection Act.
Show less
Government response AI summary
The government states it has a Memorandum of Understanding with the EHRC and will continue to work together and share information to address common interests, but does not outline a specific plan for clarifying enforcement of the Worker Protection Act.
Read full response →
HM Treasury
31
Conclusion
Sixth Report - Sexism in the City
Acknowledged
There is an important role for regulators to play in ensuring that firms tackle sexual harassment. We welcome the proposals by the Financial Conduct Authority and by the Prudential Regulation Authority to strengthen their regimes for tackling non-financial misconduct, including sexual misconduct. We note, however, that the regulators are constrained …
Read more
There is an important role for regulators to play in ensuring that firms tackle sexual harassment. We welcome the proposals by the Financial Conduct Authority and by the Prudential Regulation Authority to strengthen their regimes for tackling non-financial misconduct, including sexual misconduct. We note, however, that the regulators are constrained by their legal powers to take action, and acknowledge that they cannot take action in financial services that goes further than allowed for in wider employment and criminal law.
Show less
Government response AI summary
The government agrees with the committee on the important role regulators play in promoting diversity and inclusion, and is currently reviewing consultation responses from various stakeholders before publishing its final policy.
Read full response →
HM Treasury
32
Conclusion
Sixth Report - Sexism in the City
Acknowledged
There is limited awareness of the FCA’s whistleblowing line or how it works, and we believe there is scope to enhance its effectiveness and reduce the ‘fear factor’ victims of harassment face when reporting abuse.
Government response AI summary
The government acknowledges the limited awareness and 'fear factor' around the FCA's whistleblowing line, stating they are currently considering improvements to their approach and communication, including the potential for a publicity campaign.
Read full response →
HM Treasury