Public consultation on the draft law on equal pay for women and men

"Workers' pay should be determined by the quality of their work and their skills and not by gender," the minister said. The 11+1 Questions and Answers on the new draft law of the Ministry of Labour.

Public consultation on the draft law on equal pay for women and men

This article is an AI translation of an original piece published in Greek. Read original

The Ministry of Labor and Social Security has opened a public consultation on a draft law titled “Strengthening the implementation of equal pay for men and women for the same work or work of equal value – Transposition of Directive (EU) 2023/970.”

The aim of the bill is to eliminate situations where gender influences the determination of an employee’s pay.

Minister of Labor and Social Security Niki Kerameos stated:

“Workers’ pay must be determined by the quality of their work and their skills, not by their gender. To this end, the new bill establishes specific obligations at two key stages: first, prior to hiring, and second, after hiring. “With clear rules, greater accountability, and effective oversight mechanisms, we are strengthening confidence in the labor market with equal opportunities for all.”

The new bill introduces, for the first time, a comprehensive framework for pay transparency on two fronts: before hiring and during the employment relationship.

Prior to hiring, the company:

  • must provide information regarding the salary or pay range of the position being offered
  • It may not ask about the salary the candidate received in a previous job

During the employment relationship, companies will be required to submit information regarding:

  • the pay gap in terms of salary and additional company benefits
  • the pay gap by employee category

Employees will be able to ask:

  • how they are classified in terms of pay
  • the average pay for men and women for the same or equivalent work

Internal monitoring of the gender pay gap within companies is also being established. Companies will be required to submit data on the gender pay gap, the pay gap in bonuses, the median pay gap, and the pay gap by employee category. This requirement will apply annually for companies with 250 or more employees and every three years for companies with 100 or more employees.

If a pay disparity is identified without an objective explanation (e.g., greater experience, higher qualifications), the company is required to correct it.

The new framework is also linked to efforts to strengthen collective bargaining agreements. It provides that when a collective bargaining agreement is in effect, it is presumed that there is no unjustified wage discrimination and that collective bargaining agreements may serve as the basis for establishing wage structures within companies.

The draft law also significantly strengthens judicial protection for employees. If an employee believes that discrimination has occurred, they are entitled to request wage data, seek legal recourse, and be represented by a trade union or an equality body.

It is worth noting that to date, Ms. Kerameos has incorporated 65 proposals submitted by the National Social Partners, employee representatives, and employer representatives into the draft bill currently under consideration.

At the same time, the bill includes, among other things, provisions that provide for:

Inclusion of specific categories of employees in the National Health System (ESY) and the National Ambulance Service (EKAV) in the category of arduous and hazardous occupations (nurses, nursing assistants, ambulance drivers and assistants – paramedics) – with the option to retire at age 62 with at least 15 years of insurance coverage, of which 12 years must be in the specific specialties, while the option to recognize and buy back previous years of employment to meet the required insurance conditions is also provided. The retirement requirements are equivalent to those applicable to corresponding specialties under the former IKA-ETAM.

Option for remote participation in the labor dispute resolution process at the Labor Inspectorate.

Establishment of a Digital Registry of Collective Bargaining Agreements (CBA) so that organizations can submit collective agreements electronically, with the aim of facilitating public access to the content of CBAs and monitoring employee coverage under CBAs.

The bill comprises a total of 45 articles and will remain open for public consultation until June 17. Comments submitted will be taken into account in drafting the final text.

The bill has been posted at https://www.opengov.gr/minlab/?p=6416

Below are 11+1 Questions and Answers regarding the new draft law from the Ministry of Labor and Social Security aimed at promoting equal pay between men and women for the same work or work of equal value.

  1. What is the essence of the pay equity bill?

In short, pay should be determined by your work and your value, not by your gender. Gender should play no role in determining pay. 

  1. Is there currently a wage gap between men and women?

Yes, despite improvements in recent years, the gender pay gap still exists in Greece (according to the latest data, women’s average hourly earnings are 13.4% lower than men’s) and in Europe (11.1% lower than men’s). The new bill is based on the premise that equal pay is not enough to be merely a theoretical concept; mechanisms for transparency, oversight, and effective implementation in the labor market are also necessary.

  1. I am a working woman. What will actually change in my daily life?

For the first time, a more structured framework is being created so that you can know whether you are being paid fairly and more easily assert your rights. Until now, the principle of equal pay existed in law, but in practice many women struggled to prove that discrimination existed or even to get a clear picture of how comparable positions within the same company were paid.

The new bill increases pay transparency, requires companies to have clearer pay structures, grants the right to access more information, and strengthens protections when discrimination is suspected.

The goal is to ensure that pay is not determined by gender but by the actual value of the work.

  1. How will I know if I’m being paid lessthan a colleague who does the same work as me?

Most importantly, you now have the right to information. You will be able to request data not only on your individual pay level but also on the average salary of men and women performing the same or equivalent work at the company. This fundamentally changes the situation, because employees often do not know if there is a pay gap. Until now, salaries have often functioned as a “closed information system.” Now, greater transparency is being created so that unjustified discrepancies and inequalities in treatment can be identified more easily.

  1. Does that mean all men and women should be paid the same? Is there no meritocracy?

Of course, meritocracy exists. What both the bill and the European Directive from which it derives are trying to achieve is toensure there arenounjustifiedpay gaps due to gender or other forms of discrimination—that is, a man and a woman in the same job with the same qualifications and responsibilities should not be paid differently. If there is an objective reason for a pay disparity (e.g., if one person has significantly more experience than the other or holds more degrees), then the issue of equal pay does not arise. 

  1. What changes in hiring?

Until now, many candidates went into interviews without even a rough idea of the salary for the position they were applying for. Additionally, information about previous salaries was often requested, which could perpetuate old inequalities. Under the new framework, employers are required to disclose the salary range or pay for the position before the interview; they cannot ask “how much you earned at your previous job,” and the hiring process as a whole must be gender-neutral. This means clearer rules from the start and a reduction in the perpetuation of wage inequalities when changing jobs.

  1. Who checks whether a company is applying equal payfor equal work?

The Ombudsman plays a central role. The new draft law strengthens the ability to monitor and intervene when there are indications of unjustified pay disparities. In addition, larger companies are required to monitor and report data on the gender pay gap at specific intervals based on the number of employees they have. If a significant disparity in pay for similar work is identified without an objective explanation, corrective measures must be taken. Thus, the system is not based solely on an individual employee’s complaint, but it establishes an obligation for transparency and internal control within companies as well.

  1. If I believe I am being discriminated against, what can I do?

You will be able to request information, file a complaint with the Labor Inspectorate, seek legal recourse, and receive support from the Ombudsman or a labor union. The protective provision remains in effect that if there are indications of discrimination, the burden of proof shifts to the employer. In other words, the employee does not have to prove the entire case on their own from start to finish. 

  1. How are companies protected from abusive or repeated requests for salary information?

The draft law explicitly provides that the employer may refuse to provide information when the request is disproportionate or abusive due to its repetitive nature. In such cases, the employee retains the right to request the information through the Ombudsman, who assesses the validity of the request. At the same time, employees and employee representatives are subject to an obligation of confidentiality and discretion regarding the salary data they receive, and in the event of a breach of these obligations, the employer may claim compensation for the damages incurred.

  1. What are the potential penaltiesif discrimination is proven?

If it is proven that there was unjustified wage discrimination, the employee may receive full compensation, back pay, or bonuses that were lost. At the same time, the Labor Inspectorate retains the right to impose sanctions and fines. 

  1. If a company has a collective bargaining agreement, what changes?

The new framework places greater emphasis on collective bargaining agreements. It stipulates that when a collective bargaining agreement is in effect, it is presumed that there is no unjustified wage discrimination and that collective bargaining agreements may serve as the basis for establishing wage structures within companies. At the same time, the company is required to adjust job categories to accurately reflect the value of work within the organization, and the Labor Inspectorate fully retains its powers, while employees remain protected. Thus, protection is not reduced, but rather an incentive is created for more organized collective agreements.

  1. What changesfornurses, nursing assistants, ambulance drivers, andparamedicsin the National Health System (ESY) and the National Ambulance Service (EKAV)?

 There has been a distortion for decades: nurses, nursing assistants, ambulance drivers, and paramedics in the private sector were classified as working in arduous and unhealthy occupations, while some of their colleagues in the public sector were not. The new draft law includes nurses, nursing assistants, ambulance drivers, and paramedics of the National Health System (ESY) and the National Ambulance Service (EKAV) who are covered by the public sector’s pension system, fulfilling a decades-long demand. Retirement requirements are aligned with those already in effect for corresponding specialties in the Heavy and Arduous Work (BAE) categories of the former IKA-ETAM, and the option to retire at age 62 is provided under specific insurance conditions. Main and supplementary insurance contributions are also comprehensively regulated, while the possibility is provided for the recognition and buyout of previous periods of employment so that pension rights can be established. This is a comprehensive regulation with immediate application to the specific categories of employees in the public health system.

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