EU commission seeks to tackle gender pay gap

Published Thu, Mar 4, 2021 · 06:54 AM

[BRUSSELS] The European Commission will propose on Thursday ways to identify unwarranted pay differences between men and women, and potential fines for those responsible, according to a document seen by AFP.

Among the measures to be floated is an obligation for firms that employ more than 250 workers to publish a report on the salary gap among those who perform the same work.

The EU executive branch also wants member states to establish specific sanctions, including minimum fines in case of violations.

Employers would bear the burden of proof when a case is brought forward, as opposed to workers as is the case now.

If gender-based discrimination is found, full compensation for missing wages and bonuses would be required.

The right to equal pay is enshrined in European Union's founding treaties, but according to the latest EU statistics, there is a gap of 14.1 per cent on average between what men and women receive.

GET BT IN YOUR INBOX DAILY

Start and end each day with the latest news stories and analyses delivered straight to your inbox.

VIEW ALL

"Gender-based pay discrimination is a systemic problem but difficult to prove," remarked Helena Dalli, the EU commissioner for equality who is to present the proposals with Vera Jourova, commission vice president for values and transparency.

"Through the introduction of rules on pay transparency and a mechanism to enforce it, workers will have the tools to get the necessary information on potential pay differentials," Ms Dalli said.

Ms Jourova added that "for those who will refuse to change discriminatory practices, we are strengthening the confidence of workers to act, including to demand compensation in front of the court.

"I am convinced that making pay transparency a reality will benefit both businesses and workers, both women and men," she said.

AFP

KEYWORDS IN THIS ARTICLE

BT is now on Telegram!

For daily updates on weekdays and specially selected content for the weekend. Subscribe to  t.me/BizTimes

International

SUPPORT SOUTH-EAST ASIA'S LEADING FINANCIAL DAILY

Get the latest coverage and full access to all BT premium content.

SUBSCRIBE NOW

Browse corporate subscription here