SCOTLAND could be a world leader on gender equality if efforts are made to tackle the pay gap between men and women.

Ministers have been urged to develop an “overarching strategy” to improve rates of pay for women, which could be as much as 16 per cent lower than their male colleagues.

Suggestions on how the gap could be bridged include giving “serious consideration” to increasing the wages for care workers, most of whom are female, to a level above the Living Wage.

And employers should carry out “equal pay audits” to ensure that wages “do not discriminate on grounds of gender”.

Members of the Scottish Parliament’s Economy Jobs and Fair Work Committee made the recommendations, which they believe could “set the groundwork” for this task.

They estimated that women are paid 6.2 per cent lower than men overall. Committee convener Gordon Lindhurst said: “The committee is clear there is a gender pay issue for Scotland’s workforce. Women across Scotland’s economy are still concentrated in low-paid jobs and part-time work. The pay gap primarily affects women and isn’t just attributable to women choosing to start a family or to take time out of their careers.”

The reasons behind the problem are “deep-seated and wide-ranging and need to be tackled in a number of policy areas”, the committee said, with action needed in areas such as education, skills, childcare, procurement, business support, and the work of the enterprise agencies.

“Therefore, the committee recommends that the Scottish Government produce an overarching strategy to address the gender pay gap, including an action plan and measurable targets.

“The committee acknowledges the willingness of the Scottish Government to address the issue, and feels there is an opportunity here for Scotland to become a world leader in reducing the gender pay gap. This report and the committee’s recommendations are intended to set the groundwork for this.”

The MSPs said the care sector, which includes those who work in childcare and the elderly care, is “undervalued” but is also a “growing and central part of Scotland’s economy”.

They urged the Government to make it a “priority sector” with funding to match this, and said: “To have a transformational effect on reducing the gender pay gap, serious consideration should be given to increasing wages in care beyond the living wage to more accurately reflect the value of the work undertaken.”

The report recommended ministers develop a “suite of indicators” to measure the underlying causes of the gender pay gap, and also said more work should be done on the economic benefits of tackling the issue.

Campaigners have welcomed the report, saying that action on the issue could be worth up to £17bn to Scotland’s economy

Anna Ritchie Allan, Executive Director of pressure group Close the Gap, said: “The pay gap is an indicator of women’s persistent labour market inequality, and history has shown us that tinkering around the edges of a systemic problem doesn’t create change. This is why we enthusiastically welcome the call for a national strategy, the key ask from Close the Gap.

“The pay gap is a structural problem which requires a cohesive, strategic response to address its many inter-related causes. It’s time to translate the rhetoric around the pay gap into substantive action, and create meaningful change for women.

“We also welcome the Committee’s findings on the undervaluation of women’s skills, a critical economy-wide problem, and the recommendation that care be a priority sector. Care work is grossly undervalued and low-paid because it’s seen as ‘women’s work’. Scotland needs economic development policy that recognises care as essential infrastructure that enables the economy to function."

Employability Minister Jamie Hepburn said: “Closing the gender pay gap is a priority, both in terms of promoting equality and boosting economic growth, and we will consider this report carefully.

“We are already taking decisive action to address the issue, including transforming early learning and childcare to support more women back into work, as well as taking measures to challenge pregnancy and maternity discrimination."