A recent analysis conducted by Forvis Mazars sheds light on how several EU countries, including Belgium, Finland, and Sweden, are tackling the issue of the gender pay gap. This examination provides valuable lessons for Romania, which is poised to publish a draft law aimed at transposing EU Directive 2023/970 on pay transparency. The deadline for this implementation is set for June 7, 2026.
Adopted in May 2023, the directive champions the principle of “equal pay for equal work” and introduces requirements for reporting and access to salary information. According to Florina Andra Ilie, Senior Manager at Forvis Mazars, Romania has a significant opportunity to demonstrate its commitment to salary equality and transparency. While the draft law has yet to be published, insights from other countries can help Romania navigate common pitfalls and establish a balanced framework.
The analysis highlights that several EU nations have successfully adopted measures to promote pay transparency, which has contributed to narrowing the gender pay gap. These countries
have implemented policies that not only encourage employers to review their pay structures but also mandate public access to salary information. Such steps promote a culture where employees can discuss and negotiate their salaries without fear of discrimination or retaliation based on gender.
In light of this, Romanian employers are urged to proactively reassess their compensation models. Embracing pay transparency is not merely a compliance requirement but also a strategic advantage. Organizations that cultivate an environment of transparency bolster trust among their workforce and enhance their competitiveness in the job market.
As Romania prepares to align its national legislation with the EU directive, it is essential for businesses to understand the benefits of fostering equitable pay practices. Employers can undertake internal audits that evaluate their current salary structures. By identifying discrepancies, companies can make informed adjustments that address any gaps, ensuring that all employees, regardless of gender, receive fair compensation for their work.
Furthermore, the ongoing dialogue around salary transparency creates an opportunity for organizations to enhance their employer branding. Companies that are transparent about their pay practices are more likely to attract diverse talent and improve employee morale. By committing to fair pay practices, businesses not only comply with legal expectations but also contribute to a more equitable society.
While the implementation of the EU directive poses challenges, it also enables Romania to create a progressive labor market that prioritizes fairness and equality. Other EU countries’ experiences can serve as a blueprint for effective practices, helping Romania to avoid potential missteps. Emphasizing collaboration between employers, employees, and policymakers is crucial to building a foundation for success in this area.
In conclusion, Romania stands at a critical juncture in addressing the gender pay gap through the forthcoming legislation on pay transparency. The lessons learned from Belgium, Finland, Sweden, and other EU states illustrate that transparency can yield significant benefits for all stakeholders involved. As the deadline approaches, stakeholders must remain vigilant and proactive, working together to ensure that future pay practices foster equality, trust, and competitiveness in the labor market. Ultimately, this initiative represents not just a regulatory obligation, but an opportunity for Romania to enhance its socio-economic landscape.
