On 4 May 2021 the European Commission has presented a proposal on pay transparency to ensure that women and men in the EU get equal pay for equal work.
The proposal sets out pay transparency measures, such as pay information for job seekers, a right to know the pay levels for workers doing the same work, as well as gender pay gap reporting obligations for big companies. The proposal also strengthens the tools for workers to claim their rights and facilitates access to justice. Employers will not be allowed to ask job seekers for their pay history, and they will have to provide pay related anonymised data upon employee request. Employees will also have the right to compensation for discrimination in pay.
The proposal takes into account the current difficult situation of employers, in particular in the private sector, and maintains proportionality of measures while providing flexibility for small and medium enterprises (SMEs) and encouraging Member States to use available resources for reporting of data.
The proposal will now go to the European Parliament and the Council for approval. Once adopted, Member States will have two years to transpose the Directive into national law and communicate the relevant texts to the Commission. The Commission will carry out an evaluation of the proposed Directive after eight years.