Gender Equality Index

As a reminder, since 2019, all companies with at least 50 employees must publish their Gender Equality Index and make it public before 1 March.

The score obtained must be at least 75/100. If the score is less than 75, companies have 3 years to comply and reach the 75-point threshold.

In case of unsatisfactory results after 3 years, a financial penalty is applied by the Labour Administration, which can be up to 1% of the total payroll.

2022, a pivotal year for the Gender Equality Index, for two reasons:

• 3 years have passed so that many companies will have had their action plans assessed and possible penalties imposed; and

• A new law for economic and professional equality between women and men was published on 26 December 2021, known as the Rixain Law.

What has changed?

1. Increased publication requirements for all companies subject to the Index

• Publication of all the indicators making up the Index in the Social, Economic and Environmental Database (BDESE) and on the Ministry of Labour’s website; and

• In the event of a score below 75, the company must (i) publish external and internal communication on the corrective measures (ii) set and publish targets for progress on each of the indicators.

2. New indicator in companies with 1,000 employees for the 3rd consecutive year

• From 1 March 2022 – The employer must annually publish any gaps in the representation of women and men among senior managers within the meaning of the Labour Code and among members of management bodies.

• From 1 March 2023 – Gaps will be made public on the Ministry of Labour website.

3. New quota to be reached for companies having reached 1,000 employees for the 3rd consecutive year

• From 1 March 2026 – The proportion of each gender in senior management and in the governing bodies shall not be less than 30%, and 40% from 1 March 2029; and

• Sanction: If the company is not compliant by 2029, it will have 2 years to comply. After one year, it will have to publish progress targets and corrective measures. At the end of the two-year period, if the results obtained remain insufficient, a financial penalty may be imposed.

It is therefore high time to calculate your Index for 2022, as failure to do so could have reputational and financial repercussions.

We remain available to assist you with this very hot topic!