Business, Innovation and Skills CommitteeWritten evidence submitted by the Retail Motor Industry Federation

1. About the RMI

The Retail Motor Industry Federation (RMI) is a leading automotive trade body in the UK, representing franchised car and commercial vehicle dealers; independent garages; bodyshops; motorcycle dealers, petrol retailers; auction houses and cherished number plate dealers who provide sales and services to motorists and businesses across the UK.

2. Executive Summary

Our submission covers a broad analysis of the sector and anecdotal experience of barriers the industry faces in terms of gender equality. It does not address legal technicalities in the Equality Act or the Davies’ report. The RMI are keen to encourage as much new talent into the automotive retail sector as possible, and the following points cover recommendations for action as to how to address tackling gender stereotyping in our sector. RMI would welcome the opportunity to provide oral evidence during the inquiry.

3. Introduction

The RMI is a federation representing a diverse range of associations within the retail sector. Therefore, our directors have an understanding of different aspects of the automotive industry, including dealerships, where employment may involve sales, to garages, where the majority of employees will have a background in technical skills.

4. Factual Information

The only statistical research undertaken by analysts in the industry was on average pay in the franchised sector and did not highlight discrepancies between male and female pay. The only statistical information we have been able to obtain (from www.trendtracker.co.uk) is approximate and shows that in the industry as a whole, males account for 80% of the workforce, and females 20%, a figure which has remained relatively steady over the last 10 years.

5. Recommendations for Action

5.1 The RMI are committed to securing the best skills for the industry and are keen to address any stereotyping within the automotive retail sector that may deter females from pursuing a career within it. Currently, the RMI are working in conjunction with our partners in the automotive industry to launch an initiative called Discover Automotive, aimed at young people to highlight the benefits a job in the sector can bring. Initiatives that the RMI are involved with, such as this, are aimed equally at males and females, but there is scope for us to tackle gender stereotyping through such initiatives.

5.2 Within the automotive sector, it is clear that women are in the minority in terms of representation on company boards. The RMI are of the opinion that this is due to traditional views in the sector that it is very much a career path for males. However, the RMI are keen to pursue any initiative that will highlight the careers available within the sector that are equally open to women as are men, and may lead them on to a path of attaining a senior position in the company. With regards to female directors on company boards, RMI would encourage any board to be representative of the population as a whole in terms of its composition, ie 50% women. Gender should not act as a barrier to attaining a senior position, but as stated above, nor should we enforce quotas. However, owing to the fact that 80% of employees in the sector are male, it is unlikely that this is a realistic achievement and this overall composition must first be addressed.

5.3 Legal safeguards such as the Equality Act must be stringently followed and enforced within the workplace to deter any behaviour that will discourage females from pursuing careers in our sector. The RMI are opposed to any form of positive discrimination or quotas as it is of the opinion that any position of employment should be secured based on merit. However, it is keen to wipe out any form of harassment based on gender that could occur and any negative stereotyping that may detract from the success of the automotive sector, by discouraging talented individuals from applications.

5.4 Transparency of pay could play a key role in helping to achieve a more equal balance of men and women in the sector, openly reporting company pay for senior staff would ensure there are no discrepancies in pay between men and women in the same role, yet it is our understanding that this is already covered by the Equality Act.

5.5 Education is an important part of changing any mindsets in society, but this is a bigger and broader issue.

5.6 Finally, in terms of general trends, the percentage of women in the automotive sector saw an increase in the early 2000s but has recently started to decline again. In an increasingly competitive climate it is possible that outdated stereotypes prevail and women are once again discouraged from applying for oversubscribed jobs. Both males and females alike have been affected in terms of wage levels in the ongoing recession and it is important that, notwithstanding the effects of the crisis, equality of pay is maintained. This includes equal opportunity to obtain a senior position in a company.

5 October 2012