GEO INSIGHTS

Despite a slight reduction in the gender pay gap in the UK, a PwC report indicates it will take 45 years to close at the current rate of change. The mean hourly pay gap dropped from 12.2% to 11.8% between 2022-23 and the median pay gap fell from 9.2% to 9.1%, but since 2017, the average gender pay gap has only reduced by 1.6%. Experts stress the need for immediate action from employers to address systemic barriers and promote gender pay equity, while acknowledging that societal factors also contribute to the persistence of the gap.

At the Canva Create event in Los Angeles, a playful rap performance highlighted the cultural differences between Australian and US tech scenes, occurring just after a significant share sale made many early Canva employees millionaires. This spectacle underscores a broader trend among Australian startups to emulate Canva’s employee equity approach to motivate and retain talent. Despite mixed reactions in Australia, such cultural expressions and generous equity schemes are seen as vital for driving innovation and growth in the tech industry.

Israeli company AppsFlyer is considering an IPO, aiming to raise $300 million with assistance from investment banks like Goldman Sachs, JP Morgan, and Bank of America. Employing around 1,500 people and expecting $400 million in revenue this year, AppsFlyer specializes in technology that tracks the origins of app users. Founded in 2011, the company was last valued at $2 billion in 2020 and has investors including General Atlantic and the Salesforce investment fund.

Fast fashion giant Shein is considering an IPO on the London Stock Exchange, potentially valuing the company at $66 billion (£51.7 billion). Known for its cheap clothes and social media campaigns, Shein has faced criticism over environmental practices and labor conditions. The company, which may file the necessary paperwork this week, is seeking a UK listing after encountering regulatory hurdles in the US, aiming to boost its green credentials and expand its resale platform to the UK and Germany.

L’Oréal has launched its fourth Employee Share Ownership Plan, allowing employees in 63 countries to purchase shares and participate in the company's growth. The plan, introduced in 2018, has seen over 37,000 employees participate, reflecting their commitment and confidence in L’Oréal's future. Employees can buy shares at a discounted price with an employer contribution, and the shares will be blocked for five years, with the subscription period running from 5 June to 19 June 2024.

Hong Kong-listed IT companies lead in investing heavily in employee share plans to attract and retain talent, with the sector accounting for 53.5% (HK$38.5 billion) of total investments in 2022, surpassing healthcare and consumer discretionary sectors. Share options and awards are popular types of plans, with options predominant but awards also significant, especially in healthcare. The rise in share plan adoption, now at 83.6% of listed companies, reflects competitive job markets and efforts to foster employee commitment and motivation.