The new legislation, which recently entered into force, does not require employers to pay all employees the same salary.
Differences in remuneration remain permissible where they are based on skills, responsibilities, experience, working conditions, or performance. The issue arises when a company is unable to explain and document the reasons underlying the different economic conditions applied to its workforce.
Throughout the employment relationship, employees must be able to access information regarding the criteria used to determine remuneration, salary levels and, where applicable, pay progression. In addition, each employee has the right to request, in writing, information on the average pay levels-broken down by gender for categories of workers performing the same work or work of equal value.
The employer must respond within two months and must inform employees annually of the existence of this right and the procedures for exercising it. Responses must comply with data protection regulations, ensuring that the information provided does not enable the identification of the remuneration of individual colleagues.
The applicable collective bargaining agreement also assumes particular importance.
The adoption of a national collective bargaining agreement concluded by the most representative trade union and employers’ organisations provides an important basis for compliance in relation to employee classification and grading. However, the national collective bargaining agreement does not automatically protect the company with respect to individual salary supplements, bonuses, benefits, incentive schemes, or salary increases granted without clear and objective criteria.
Indeed, discretionary remuneration components represent the area of greatest risk.
A pay difference may be legitimate, but it becomes difficult to defend when it results from individual negotiations, undocumented assessments, or company decisions for which no supporting rationale has been retained.
A pay policy therefore becomes a key corporate governance tool.
Although it is not necessarily required as a standalone document, it enables companies to establish who is authorised to approve salary increases and bonuses, which criteria must be applied, how exceptions should be justified, and what monitoring measures should be implemented over time.
An effective pay policy should regulate both fixed and variable remuneration components, salary bands, criteria for bonuses and career progression, the management of individual salary supplements, decision-making responsibilities, and the procedures for responding to employee information requests.
It should also be aligned with the applicable collective bargaining agreement, company-level agreements, and data protection requirements.
The new framework also strengthens judicial protections.
Where an employee presents evidence including statistical evidence capable of creating a presumption of discrimination, the absence of clear criteria and supporting documentation may make it particularly difficult for the employer to demonstrate that its decisions were lawful and justified.
Furthermore, retaliatory actions against employees who request information or report a potential pay disparity are expressly prohibited.
Breaches may result in orders to cease discriminatory conduct, measures to remove its effects, administrative sanctions, and reputational damage. In addition, the public monitoring system may make pay-gap data comparable across companies, economic sectors, and geographical areas.
Pay transparency should not be regarded as merely another administrative burden.
A clear and well-documented remuneration system reduces the risk of disputes, improves human resources management, and enables companies to effectively defend their employment decisions.
The Law Firm remains available should you require any further information or clarification.