Government calls for action over boardroom equality

8 March 2010

New proposals from the government could require firms to report on their efforts to increase female representation in the boardroom.

In an attempt to speed up changes to executive recruitment strategies, ministers have asked the Financial Reporting Council to consider an amendment to the UK Corporate Governance Code.

This would require companies to submit reports on their progress in bringing more women into senior management positions.

The announcement follows a survey commissioned by the Government Equalities Office for International Women's Day, which found that 61 per cent of people believe that British businesses are missing out on talent by failing to recruit female directors.

Commenting on the findings, Gordon Brown said it was "completely unacceptable" that some of the nation's biggest firms maintain all-male boardrooms.

"A new principle in the governance code on diversity would build on the provisions in the equality bill, which allow employers to take positive action when recruiting to balance their workforce," he added.

The prime minister spoke with leading female executives at a breakfast meeting in Downing Street today (March 8th) as part of International Women's Day.