The directive, which came into effect on June 6, 2023, aims to reduce gender pay gaps and promote workplace equality by increasing transparency in pay systems. Organizations must establish a wage structure that ensures equal pay for women and men performing the same or equally valued work.
The directive requires regular monitoring of gender pay gaps and the implementation of necessary measures if the gap exceeds 5%, to ensure equal pay. Employers must prepare to be able to provide wage reports in compliance with the regulation and ensure the pay structure related information flow. This requires a job evaluation system based on objective, gender-neutral criteria, as well as a transparent pay system and employee communication in line with the directive.
A transparent wage structure, based on objective, gender-neutral criterias, should be in place to allow for the evaluation of employees in terms of the value of their work, ensuring that they are compensated equally and accordingly.
“Fair compensation and equal opportunities are built on objective, transparent, and well-communicated HR processes. The benefits of such practices are enjoyed not only by women and disadvantaged groups but by the entire company, fostering a more committed and motivated workforce.”
Recruitment selection: Pay transparency must be ensured during recruitment and selection, even before hiring. Employers cannot inquire about candidates' current salary details.
Job evaluation: The principle of "equal pay for equal work," as outlined in the directive, can only be met if job positions are comparable. This requires a job evaluation system based on objective, gender-neutral criteria.
Compensation strategy: The principles and rules of the pay policy must be clear and accessible to employees. Employees have the right to request information regarding their pay from the employer.
Talent management: The expectations and criteria for career advancement must also be objective and accessible to employees.
Our modular service is designed for flexible use, allowing you to tailor it to your specific needs. Whether you require a comprehensive package or just a few selected modules, our adaptable approach ensures you receive precisely what you need.