The EU Pay Transparency Directive is expected to enhance business ability to attract and retain skilled personnel by establishing clear rules regarding remuneration fairness, according to Deputy Labour and Social Policy Minister Nataliya Efremova. While equal pay between genders is already legislated in both European and Bulgarian law, effective implementation remains a challenge, as data indicates the gender pay gap in Bulgaria exceeds 13% in favor of men. Key provisions of the directive include requiring employers to publish salary ranges in job advertisements and prohibiting the practice of inquiring about a candidate’s previous pay.
These measures aim to prevent the continuation of existing inequalities by mandating objective, gender-neutral evaluation criteria based on skills, effort, responsibilities, and working conditions. Furthermore, the directive grants employees the right to information, allowing them to access data on average pay levels within their category. Employers will be obligated to implement corrective measures if a pay gap exceeding 5% cannot be justified by objective criteria.
A national monitoring body is planned to collect 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 stated that Bulgaria is advanced in preparing to transpose the directive, integrating its main tenets into the Protection against Discrimination Act and amending the Labour Code.
The focus, she emphasized, is on prevention and achieving fairness through enhanced pay transparency, rather than solely imposing sanctions. The successful implementation of this directive is anticipated to foster a more equitable and competitive labor market.
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