
EU Pay Transparency Directive: the 3 things it requires of employers
Employ people in the EU? The EU Pay Transparency Directive is coming, and it asks a lot of employers.
"It's the market rate" may no longer be enough to justify a pay difference.
"It's the market rate" may no longer be enough to justify a pay difference.
Sara Hill of RoleMapper explains why recent equal pay cases are challenging justifications based on the market rate, business size or job title alone.
Essential viewing for HR, reward, employee relations and in-house legal teams.
So recent case law has shown us that the bar for justifying pay differences is rising. So market pricing, which is what a lot of us used and have used to actually determine what a role should be paid. That alone is not has been considered by the courts of law to be not a valid gender neutral justification for pay. And also case law has shown that revenue and business size is also not a valid justification for setting base pay. And then case law's also showing that actually just looking at job titles, that's not a determinant for value.
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Employ people in the EU? The EU Pay Transparency Directive is coming, and it asks a lot of employers.

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