The calculation of the gender pay gap takes into account nondiscriminatory criteria that can explain the gap.
Sound statistical analyses based on multiple regression models to tackle systematic pay gaps
International Good Practice
Methodology won the UN Prize for Public Service Excellence as well as the EPIC Good Practice Label
Log-ON: A standardized data analysis process
Fair-ON-Pay uses a standardized data analysis process “Log-ON”. Log-ON allows for the identification of systematic pay discrimination within a company by using complex statistical regression modells.
Log-ON is based on the standard analysis tool of the Swiss Federal Office for Equality that was developed in the early 2000s and constantly improved since then. The so called “Logib” tool and its methodology has been awarded the UN Prize for Public Service Excellence as well as the EPIC Good Practice Label.
Nondiscriminatory & scientifc method
Over the past 15 years, the FOGE has had various legal opinions and scientifically assessments prepared that examined the various aspects of a statistical pay equity analysis. Among other things, the scientificity and legal conformity of the Logib analysis methodology and its procedure were confirmed (legal conformity for Switzerland).
Good Practice Label (EPIC)
In 2020, the FOGE’s Logib has been labeled as the first EPIC good practice tool.
Good Practice Awards (UN)
The Federal Office for Gender Equality (FOGE) was presented with the 2018 United Nations Public Service Award. The award, which recognises contributions made by public administrations towards achieving the Sustainable Development Goals, went to Switzerland for its commitment to equal pay.
Determining the residual
In a nutshell, Log-ON calculates the gross wage difference between men and women and attempts to explain the difference on the basis of personal qualification characteristics, job-related factors and gender.
Log-ON can thus determine how much of the wage difference between all women and men in a company cannot be explained by objective, non-discriminatory factors and is correlated with gender; manifesting a residual and a potential gender-based pay discrimination.
In order to obtain a Fair-ON-Pay certification, any residual must statistically lie within a defined tolerance threshold.