Companies in Europe will have to make salary differences transparent in the future. Companies with more than 250 employees in particular will soon be subject to stricter rules. After all, women continue to earn an average of 13 percent less than men.
After the European Parliament, the EU states have now also approved stricter rules for more wage transparency. In the future, companies in Europe with more than 250 employees will have to submit an annual report on the extent to which wages differ between men and women. This emerges from a statement by the EU states.
Smaller companies are also affected. For them, however, less strict rules apply: You have to present this information less often. In addition, they sometimes only have to start in around eight years instead of four. According to the EU Parliament, this obligation only applies to companies with fewer than 100 employees as soon as they are asked to do so by an employee.
EU: “Gender Pay Gap” reduced only minimally
The new regulation aims to make it easier to compare salaries and uncover any differences in wages. According to the information, women in the EU earn an average of 13 percent less than men. According to EU figures, the “gender pay gap” has narrowed only minimally in recent years.
ban from confidentiality clauses
Confidentiality clauses about the salary should also be prohibited in the future. According to the will of the EU, a mandatory investigation together with employee representatives is also planned if a wage difference between the sexes of five percent or more is found in a company.
When employers failed to respect equal pay obligations, workers would have the right to seek compensation.