After considerable delay the European Commission published its draft directive on pay transparency which the ETUC welcomed as having many good principles but lacking the real tools to make it work in practice. While the ETUC expects the directive to reduce secrecy on pay, it is concerned that pay audits and action plans will only apply to organisations with over 250 employees. The ETUC is also critical of the fact that the directive allows employers to define which jobs to use in comparisons of equal pay for work of equal value and refers throughout to ‘workers representatives’ instead of trade unions.
European Commission finally publishes pay transparency directive
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In an unusual move the ETUC has published its own draft equal pay directive to put pressure on the European Commission to deliver on its commitment to produce legislation to improve pay transparency. The draft includes provisions calling for a ban on pay secrecy clauses in contracts so that workers can discuss pay; requirements to release of information on job evaluation for the purpose of establishing equal pay for work of equal value; require all employers produce pay information audits and annual action plans on pay equality; and support trade unions to negotiate with employers to tackle
The ETUC says that, according to the European Commission’s own figures, two thirds of European workers would be excluded from coverage by the pay transparency directive. The current proposal would limit gender pay reporting to organisations with over 250 staff. The impact would be even broader in countries like Estonia and Latvia where higher percentages of workers are employed by small firms and just one in five workers would be covered by the directive. These are also two of the countries with the highest gender pay gaps. Italy (79%), Cyprus (83%) and Greece (88%) are the three countries
The ETUC is publishing examples of pay inequality from around in Europe in its campaign to put pressure on the European Commission to deliver on its promise of a pay transparency directive. The ETUC’s first examples from the manufacturing sector clearly how women are paid less even when their jobs require the same levels of skill and physical effort as those of men. The ETUC also points out that the Covid crisis has exposed the deep-rooted bias behind wages for professions dominated by women, with carers and cleaners recognised as ‘essential’ despite being amongst the lowest paid. ETUC (EN+FR)