Disability and pay gap: how to lead the fight against inequality

The challenges people with disabilities encounter in their daily lives go beyond physical barriers, technological accessibility and the different prejudices in society. There is a considerable employment gap linked to these factors, affecting job positions as well as salary. Carrying out a thorough analysis of this difference becomes the first step to correcting it, which is essential when taking into account that one in every six people in the world live with a significant disability: 1.300 million, according to World Health Organization data. Moreover, the WHO warns that the figure is on the rise, partly due to the increased prevalence of non-communicable diseases, but also because people are living longer and the chances of developing a limiting condition increase with age.

The situation of people with disabilities is not the same as those with none. The European Commission has raised concerns regarding several of these inequalities. Only half of people with disabilities have one job for instance, compared to three out of four people with disabilities who do work. This is data from the European Union, where some 100 million inhabitants out of 448 million live with some kind of disability.

The situation varies by country. In Spain, for instance, 4.38 million people with disabilities live in homes and 357.894 residents do so in care centers: around 4.74 million inhabitants in the country live with a disability. According to Report 9. 10th Odismet Anniversary the employment rate for this group was 27.8% in 2022, as opposed to 68.1% of the population without disabilities. The employment rate varies based on the disability type: people with hearing impairments have a rate of 53%, followed by those with physical disabilities at 33.7%, visual impairments at 33.1%, intellectual disabilities at 23.8%, and psychosocial impairments at 18.9%. The largest share of contracts, 43.7%, was for elementary occupations, followed by roles in catering, personal care, protection, and sales services at 21.7%.

A lower employment rate in less specialized sectors with less stable conditions has a direct consequence: a pay gap. The Odismet report highlights differences between the average gross annual salary for people with disabilities at 26.030 euros and at 21.544 euros for those with a disability. That is a 4.486-euro difference, 18.8% less.

Other countries have numbers that show similar scenarios of inequality. A World Bank report regarding inclusion in Latin America and the Caribbean highlights the pay gap between people with and without disabilities in the region, showing that individuals with disabilities earn 6.6% to 11.4% less, depending on the country concerned. The difference increases to 22.9% when other factors are added, such as gender or membership of ethnoracial minorities.

On top of that, the link between disability and poverty must be added. In Spain, the risk of poverty or social exclusion for the disabled population was 30% in 2022, compared to 22.7% for the non-disabled population. The numbers for the European Union as a whole are 28.4% compared to 17.8%, respectively. In Argentina, this difference is 23.7% compared to 15.3%

Closing the pay gap and addressing other inequalities faced by people with disabilities requires a joint effort from third-sector organizations, public administrations and businesses.

At MAPFRE we are fully committed to inclusion and diversity. We ended 2023 with 3.9% of our global workforce made up of people with disabilities. 97.6% of them hold permanent contracts and 93.5% work full-time, both being key factors in reducing job insecurity. This goes hand in hand with two objectives of our Diversity, Inclusion and Equity Strategy: to increase the representation of this group within MAPFRE’s workforce through quality employment and to help improve their living conditions.

Regular awareness-raising activities were also carried out, such as the Seeing Without Labels program, which was undertaken by 7.621 people from our company in 2023. As a signatory of the 10 principles of the diversity charter of the Fundación Diversidad and member of the International Labour Organization’s Global Business and Disability Network, we are committed to developing a diverse and inclusive workforce, in embedding diversity values across all personnel policies and in publicly demonstrating these commitments in every aspect of our work.

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