Equal pay

The Minister of Social Affairs and Employment, Eddy van Hijum, published a draft bill on 26 March 2025 which aims to tackle wage disparity between men and women. This proposed legislation implements EU Directive 2023/970 which seeks to promote equal pay for men and women through salary transparency and enforcement mechanisms.

The most important points in the bill are:

1. Transparency requirement upon employers:
   a. Openness about remuneration before appointment.
   b. Ban on salary history questions in job applications.
   c. Gender-neutral job titles and vacancy listings.
   d. Insight into remuneration progression and right to information.
2. Reporting requirements:
   a. Employers with a workforce of at least 100 people must report regularly on pay differences.
   b. Specific reporting requirements for companies with 100-250 staff (every three years) and more than 250 personnel (annually).
3. Wage gap analysis:
   a. Employers must identify and report on the gender pay gap.
   b. Analysis of both basic salary as well as additional or variable elements.
4. Support and raising awareness:
   a. Companies will be encouraged to provide management and HR professionals with training and resources on remuneration disparity.
5. Field of application:
   a. The law applies to all employees with an employment contract, including part-time and temping agency staff.

The bill has been submitted for internet consultation and therefore some parts could still be amended. In anticipation of this bill employers can already prepare for its introduction by taking the following steps:

• Carry out an assessment to determine whether your organisation is ready for the new legislation.
• Review the current job description and salary structure in the context of the salary transparency rules.
• If necessary, draw up an action plan for consultation with the Works Council.