This refers to the employer’s full reimbursement of unpaid wages, as well as incentive payments and compensation, including compensation for emotional distress and other harm caused to the employee, and reimbursement for lost opportunities. This also includes the payment of late fees in an amount determined by the court.
The authors of the initiative propose that these and other provisions take effect on January 1, 2027. It provides for amendments to the Labor Code, the Code of Administrative Offenses, and four related laws. The draft was developed by the Ministry of Labor and Social Protection and aims to increase the transparency of the wage system.
Mechanisms for Identifying Unequal Pay
In particular, the bill proposes introducing mechanisms to identify unequal pay between men and women, as well as among employees in the same categories and for the same pay components.
Employers with 50 or more employees will be required to establish objective criteria for pay for the same work or work of equal value, as well as to inform employees about the job evaluation and classification system.
In companies with at least 100 employees, employers will annually calculate the pay gap based on additional and variable components, as well as the proportion of employees (women and men). Starting in 2028, these figures will be published by the State Labor Inspectorate.
At the same time, employees, their representatives, the State Labor Inspectorate, and the Council on Equality will have the right to request explanations and additional information from the employer regarding the methodology for establishing employee categories or the accuracy of the classification.
To implement this initiative, the Ministry of Labor and Social Protection will develop and provide employers with a Methodology for Assessing and Comparing the Value of Labor. The document will be advisory in nature.
