The EU Pay Transparency Directive is expected to influence labor markets by establishing clearer rules regarding remuneration, according to Deputy Labour and Social Policy Minister Nataliya Efremova at the Next Level HR forum. While equal pay between men and women is already covered by both European and Bulgarian legislation, effective implementation remains a challenge, evidenced by a gender pay gap in Bulgaria exceeding 13%. Key provisions within the directive include mandating that employers disclose salary ranges in job advertisements and banning the practice of asking candidates about their previous pay.
These measures aim to prevent the continuation of existing pay inequalities by focusing evaluation criteria on objective, gender-neutral elements: skills, effort, responsibilities, and working conditions. The directive also reinforces employees’ right to information, allowing them access to data on average pay levels within their occupational category. Furthermore, if a pay gap exceeding 5% is identified and cannot be justified by objective metrics, employers will be required to implement corrective measures.
A national monitoring body is planned to collect and analyze this data, track trends, and provide preventive oversight. Companies with 100 or more employees will be obligated to report on the gender pay gap. Efremova stated that Bulgaria is progressing with transposing the directive, integrating its main tenets into the Protection against Discrimination Act and amending the Labour Code.
The overall objective of the directive is framed as promoting prevention and fairness through increased pay transparency. Ultimately, the implementation is intended to foster a more competitive labor market where adherence to transparency and equality offers a competitive advantage in talent acquisition.
Topics: #pay #transparency #directive
