Dawn Butler, the shadow women and equalities minister, said action will include fining companies that fail to report their gender pay gap or take unsatisfactory measures.
The election campaign promise marks Equal Pay Day – the day when women effectively stop getting paid for the rest of the year compared with their male counterparts due to the difference in wages.
Ms Butler said it was “not good enough” that it would take until almost 2080 for the gender pay gap to be closed. “Labour’s real living wage, robust gender pay auditing – including fining organisations that fail to take action, will help us deliver real change and meet this ambitious target,” she added.
Data compiled by the Office for National Statistics (ONS) shows that the average gender pay gap for full-time work stands at 13.1 per cent in the UK.