The EU Pay Transparency Directive is anticipated to assist businesses in attracting and retaining staff by establishing clear rules regarding remuneration. According to Deputy Labour and Social Policy Minister Nataliya Efremova, while equal pay between genders is already stipulated in European and Bulgarian law, effective implementation remains a challenge, evidenced by Bulgaria’s gender pay gap exceeding 13%. The directive introduces several key changes aimed at enhancing pay transparency.
Among these is the requirement for employers to specify a salary range in all job advertisements, alongside a ban on asking candidates about their previous pay. The objective is to prevent the continuation of existing pay inequalities by mandating the use of objective and gender-neutral criteria for evaluation, focusing on skills, effort, responsibilities, and working conditions. Furthermore, the directive guarantees employees the right to information, enabling them to access data on average pay levels within their professional category.
Employers will be obligated to implement corrective measures if a pay gap exceeding 5% cannot be substantiated by objective criteria. A national monitoring body is planned to collect and analyze data, track trends, and perform a preventive function. Companies with 100 or more employees will be required to report on the gender pay gap.
Efremova noted that Bulgaria is advancing preparations to transpose the directive, incorporating its provisions into amendments to the Labour Code and the Protection against Discrimination Act. The goal, she stated, is prevention and achieving fairness rather than imposing sanctions. Ultimately, the implementation of this directive is expected to foster a more competitive labor market where a focus on pay transparency provides a distinct advantage for businesses committed to equality.
Topics: #pay #transparency #directive
