Spain takes the first step towards gender equality in the workplace

by Lorraine Williamson
gender equality

Gender equality in the workplace. That is the goal of the Spanish government. One of the means to achieve this goal is payroll. This list will be legally required from April 14 for all companies in Spain. Companies will be fined if this is not complied with.

A Payroll is the measure of the Spanish government with the aim of closing pay gaps between men and women. However, failure to comply is seen as a serious employment violation and is punished with a fine of up to €6,250. Furthermore, if there is discrimination in the company – for example if men earn more for the same job than female colleagues in the same position – then the fine can amount to €187,515.

Transparency within Spanish companies 

“The payroll must offer transparency within companies and for supervisory authorities. Pay for men and women must become equal. And both direct and indirect discrimination can be detected and combated with the help of this list.” These were the words of the UGT union to introduce this obligation as a regulation via the government. On Tuesday, a spokesman for this union announced the payrol will become mandatory from April 14. However not all companies in Spain have this list in order.

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The Spanish government has long wanted measures against for gender equality

This payroll is not new! It, and other equal treatment measures for workers in the labour market, were announced by Prime Minister Sánchez in 2019. However, it was not until October 2020 when the government agreed to make this list legally mandatory. This obligation will take effect on April 14. And all companies that do not yet have their payroll in order run the risk of fines.

How does payroll work for Spanish companies? 

The Spanish news site El Diario writes that the payroll applices to every employee. This includes the director and management. The list also includes all employees, job titles, gender, salary and bonuses or perks distributed during the year.

For companies with more than 50 employees, additional rules apply. Such as being able to show plans to introduce and maintain equal pay for employees. Periodic audits will be carried out to verify that targets in this area are being met.

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