The proposed EU Pay Transparency Directive aims to enhance labor market competitiveness and improve talent retention by establishing clear guidelines for remuneration. According to Deputy Labour and Social Policy Minister Nataliya Efremova, the legislation seeks to address persistent pay disparities, despite existing equal pay mandates in European and Bulgarian law. She noted that current data indicates Bulgaria has a gender pay gap exceeding 13% in favor of men.
Key provisions of the directive mandate significant changes in hiring practices, such as requiring employers to publish salary ranges in job advertisements and prohibiting inquiries into a candidate’s previous salary. The core objective is to prevent the continuation of existing inequalities by basing work evaluations on objective, gender-neutral criteria: skills, effort, responsibilities, and working conditions. Furthermore, the directive guarantees employees the right to information regarding average pay levels within their job category.
If an employer identifies a pay gap exceeding 5% that cannot be justified by objective metrics, the law requires the implementation of corrective measures. A national monitoring body is planned to collect and analyze this data, track trends, and provide a preventive function. Companies employing 100 or more workers will be obligated to report their gender pay gap data.
Bulgaria is reportedly advancing preparations to incorporate the directive’s provisions into the Protection against Discrimination Act and the Labour Code. The initiative emphasizes prevention and fairness over sanctions. Implementing this enhanced pay transparency is expected to foster a more equitable labor market, allowing companies that invest in equality to gain an advantage in attracting qualified staff.
Topics: #pay #transparency #directive
