Facebook UK Gender Pay Gap Report 2018 to 2019

At Facebook, diversity is at the core of our business. It helps us build better products, make better decisions and to best serve our community of 2.7 billion people.

Compensation at Facebook is made up of base salary, cash bonus or commission, and equity in the company. We work hard to avoid unconscious bias affecting how much people get paid. Managers don't make decisions about compensation increases - instead we use a formulaic approach that determines pay based on performance and level.

In April 2018, Facebook's UK mean gender pay gap is 1.8% and median gender pay gap is 11.9%. This compares with the 2018 Office of National Statistics UK national mean of 17.1% and national median of 17.9%. Average bonuses for women at Facebook were 43.9% lower than men and 41.6% lower at the median.

Gender pay is a measure of the average pay for men and women irrespective of their roles. This is different to equal pay for doing the same roles. At Facebook we review total compensation data, including base, bonus and equity, annually and have had pay equity for men and women globally for many years.

Facebook 2017/18 results

In reporting our numbers for 2018, we have made some small adjustments to the assumptions behind our pay gap calculations. To enable full comparability from year- to-year, we have restated our 2017 reported numbers using the revised assumptions in this report.

Since our last report, we have made progress in increasing female representation in the UK, in leadership and in technical roles. In 2016/17 our team in London was 71% male and 29% female and in 2017/18 this had moved to 69% male and 31% female. Our top pay quartile is also 69% male and 31% female reflecting our gender representation as a whole.

The reason for our pay gap continues to be unequal representation. We have more men than women working at Facebook in technical roles, particularly senior technical roles. In April 2018, our engineering organisation in London also made up the majority of our London workforce. Rates of compensation, particularly of equity compensation (counted in the bonus pay gap), for these skills are higher than non- technical roles due to an extremely competitive talent market. The pool of this talent, particularly for more senior positions, continues to be predominantly male.

During 2017/18 we made progress in hiring more women. In our non-technical positions, women accounted for the majority of these hires. Our technical roles are generally paid more than non-technical roles and as we hired more women in non- technical roles during 17/18 this has caused a slight widening in our pay gaps in the short term. In the longer term this will give us a greater pool of female talent to grow into future leaders. We also expect that increasing female representation in our senior technical roles will take time - this is a structural labour market issue that will take years to address.

We know that recruitment and retention are key to increasing the diversity of our workforce over time. We use a Diverse Slate Approach for our hiring so that recruiters present qualified candidates from underrepresented groups to hiring managers. Since this approach was introduced, we have seen a steady increase in the hiring rates of diverse candidates. We focus on retention by creating an inclusive environment where everyone can thrive. This includes our many Facebook Resource Groups which build community and foster professional development and our investments in specific programs available to all employees to tackle bias and build an inclusive culture.

We hold ourselves accountable because this matters to us. In 2018, the number of women employees globally rose from 35% to 36% and the number of women in technical roles increased from 19% to 22%. Between 2014 when we first publicly reported our representation data and 2018, the number of women in leadership roles has increased from 23% to 30%.

Diversity is critical to our success as a company. We have more to do across the board but we are committed to increasing the representation of women at all levels and in all areas of our business.

Statutory declaration

We confirm that the information and data in this report are accurate and in line with the requirements of the Gender Pay Gap Reporting Regulations.

Signed by :

Fiona Mullan,
VP International HR

Dave Kling,
Director