Equality Plans And Other Obligations

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Companies with more than 50 workers must implement an equality plan and fulfill other obligations.

As we already indicated in our previous articles, there is an obligation of companies with more than 50 workers to implement an EQUALITY PLAN. Furthermore, the following obligations must also be complied with:

Remuneration Registry

This obligation comes into force on April 14, 2021 for companies with less than 50 workers, the most relevant aspects being the following:

  1. It affects all companies.
  2. It must include salary information for the entire workforce, including Top-Executives and Senior Managers.
  3. It must include all the remuneration disaggregated by sex, professional group, level and position.
  4. It requires 10 days’ consultation with workers’ representatives (Company Committee or Personnel delegates).
  5. Workers´ representatives must have access to the remuneration registry. In the absence of workers’ representatives, it must be provided to the worker who requests it under the terms established in the standard.

Remuneration Audit

This obligation also comes into force April 14, 2021 for all companies obligated or for those that establish an equality plan voluntarily. The remuneration audit:

  1. Affects all companies that draw up an equality plan on a mandatory or voluntary basis.
  2. Its objective is to identify differences in treatment, and how to prevent obstacles to equality and the difficulties to overcome them.
  3. It is necessary to carry out a compensation diagnosis that reflects the evaluation of jobs and detects the triggers of inequalities.
  4. Establish a corrective action plan establishing objectives, actions, responsible parties and deadlines.
  5. It has the same duration as the equality plan, except if a different date is established.

Failure to comply with the above obligations of the Remuneration Registry and Remuneration Audit can give rise to fines of up to 187,515 euros in its maximum degree and accessory sanctions such as the automatic loss of aid and bonuses.

Equality Plan

For companies that have between 101 and 150 employees it is compulsory to establish an equality plan as of March 7, 2021, and for which certain relevant aspects must be taking into account:

  1. An equality plan must be the objective of negotiation with the workers’ representatives (company committees or staff delegates).
  2. In the absence of delegates or a work council, unions must intervene at the sectoral level.
  3. Employees are counted both permanent and temporary in force in the previous 6 months.
  4. The plan must be registered within one year at most.
  5. This must have the same duration as the Equality Plan except in the case of a different agreement.

The UHY Fay & Co labor area offers its clients specialized services so that the application of the equality regulations adjusts to the needs of the organization and allows the labor relations to be managed globally.

 

 

Fe López
Partner – Labour Lawyer
flopez@uhy-fay.com

 

 

 

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