Queen’s Speech: More equality in the boardroom?
The No 10 Briefing on the flexible working and equal pay bill contains a brief reference to ‘looking to promote gender equality on the boards of listed companies’. The TUC has long been an advocate of greater diversity on boards, including, but going beyond the important issue of gender diversity.
At present, company directors are drawn from a very narrow range of backgrounds and we believe that the quality of discussion and decision-making on boards would benefit from a wider range of voices being heard in the boardroom.
The TUC has for years called for all non-executive director posts to be publicly advertised, to encourage a wider range of applications to boards. We have also suggested establishing a pool of potential non-executive director candidates drawn from a range of experiences and backgrounds, on which companies could draw.
Another recommendation is that there should be a central site on which all non-executive director posts are advertised and that all nomination committee members should undergo equally opportunities and recruitment training.
So there are things that can be done to tackle this area; we will wait and see what the Government’s proposals will be.