Bill to combat gender pay gap: online consultation launched!
04-04-2025
On March 27, 2025, the internet consultation on the Act implementing the Directive on pay transparency between men and women commenced.
What is the purpose of the Pay Transparency Directive?
Women in the Netherlands still earn less than men, even for equal (or equivalent) work. The European Directive on pay transparency between men and women aims to promote equal pay for men and women by introducing pay transparency measures.
The Pay Transparency Directive must be transposed into Dutch law by June 7, 2026, at the latest.
What does the draft bill for the Implementation of the Directive on Transparency of Remuneration between Men and Women provide for?
The draft bill provides for the implementation of the Transparency of Remuneration Directive and contains various measures. The most important measures are:
Employers are required to have remuneration structures in place that guarantee equal pay for work of equal value.
Employers are no longer allowed to ask applicants questions about their current or previous employment income.
Applicants and employees are entitled to information about the remuneration for the position in question.
Employers with more than 250 employees must report annually on pay differences. For employers with 100 to 250 employees, this reporting obligation applies once every three years. If the report shows that the pay difference is 5% or more, the differences must be analyzed, after which any unjustified differences can be adjusted and prevented in the future.
The works council's right of consent will be extended when it comes to establishing, amending, or withdrawing a remuneration scheme.
What is the next step in the legislative process?
Responses to the internet consultation can be submitted until May 7, 2025. The Council of Ministers will then decide whether, and if so, in what (possibly amended) form the bill will be submitted to the House of Representatives. The intended date of introduction of the bill is June 7, 2026, and the reporting obligation will be phased in according to the size of the company.
We will keep you informed of developments relating to this new legislation and regulations via Legal Updates, our ESG blogs, and the ESG & Legislation and Regulations theme page on our website.
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