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Labor, 15/04/21

The new obligations regarding equal pay came into effect on April 14.


 

Royal Decree 902/2020 of October 13, on equal pay between women and men.

 

Below, we summarize the main new features of the aforementioned regulation regarding the pay register, which must exist in all companies.

 

1.- All companies must have it

All companies must maintain a pay register for all their employees, including management and senior staff. This register aims to ensure transparency in compensation structures, providing accurate and up-to-date information, and to guarantee adequate access to company pay data, regardless of size, through the documented compilation of averaged and itemized figures.

Consequently, the size or turnover of a company has nothing to do with the requirement to maintain this record, which applies to all companies without exception.

Workers have the right to access this salary register through their legal representation in the company

 

2.- Characteristics, content and time frame of the record

Broadly speaking, we can define the main aspects of this record:

  • This refers to the entire staff, including management and senior management.
  • Its purpose is to guarantee transparency in the configuration of perceptions, in a faithful and up-to-date manner, and adequate access to the remuneration information of companies, regardless of their size, through the documented preparation of averaged and disaggregated data.
  • It must include the average values ​​of salaries, salary supplements and non-salary payments of the workforce broken down by sex.

Therefore, the pay register must detail the following data broken down by sex:

– Total annual salary.

– Annual base salary.

– Each of the annual salary supplements.

– Each of the non-wage benefits.

– Annual earnings for overtime and supplementary hours.

All of them broken down in turn by professional category, professional group and job position, and their arithmetic means and medians.

  • When access to the register is requested by the employee due to the absence of legal representation, the information provided by the company will not be the averaged data regarding the actual amounts of remuneration recorded in the register: the information will be limited to the percentage differences that exist in the average remuneration of men and women, which must also be broken down according to the nature of the remuneration and the applicable classification system.
  • In companies that do have legal representation of the workers, access to the register will be facilitated to the workers through said representation, who will have the right to know the full content of it.
  • The reference period will generally be the calendar year, without prejudice to any modifications that may be necessary in the event of a substantial alteration of any of the elements that make up the register.
  • The legal representatives of the workers must be consultedat least ten days in advance of the creation of the register. They must also be consulted with the same advance notice when the register is modified.

 

Furthermore, when the arithmetic mean or median of the total remuneration in the company for workers of one sex is higher than that of the other by at least 25%, a justification must be included that this difference is due to reasons unrelated to the sex of the workers.

 

  1. Penalties for non-compliance with registration obligations

The remuneration information or the lack thereof resulting from the application of the Royal Decree may be used to carry out the appropriate individual and collective administrative and judicial actions, and the application of the sanctions that may correspond due to the occurrence of discrimination.

Therefore, from April 14th, the Labor and Social Security Inspectorate can open a file if it unsuccessfully requests the company to provide information on the salary register adapted to the regulations, or if the information obtained fails to meet the requirements.

 

 

If you require our assistance to obtain more information or have any questions, please contact us via email at ambit@ambitassessor.com or at our offices.

 

 

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