Iceland becomes first country to make the gender pay gap illegal

-

 

Iceland has become the first country in the world to make it illegal for men to earn more money than women for doing the same job.

Under the new legislation that came into effect on 1 January, companies and government agencies with more than 25 employees will be required to obtain government certification for their equal-pay policies. Those failing to demonstrate pay equality will be required to pay fines.

Dagny Osk Aradottir Pind, a board member of the Icelandic Women’s Rights Association, told Al Jazeera:

HRreview Logo

Get our essential weekday HR news and updates.

This field is for validation purposes and should be left unchanged.
Keep up with the latest in HR...
This field is hidden when viewing the form
This field is hidden when viewing the form
Optin_date
This field is hidden when viewing the form

 

“The legislation is basically a mechanism that companies and organisations … evaluate every job that’s being done, and then they get a certification after they confirm the process if they are paying men and women equally,

We have had legislation saying that pay should be equal for men and women for decades now but we still have a pay gap. I think that now people are starting to realise that this is a systematic problem that we have to tackle with new methods,

Women have been talking about this for decades and I really feel that we have managed to raise awareness, and we have managed to get to the point that people realise that the legislation we have had in place is not working, and we need to do something more.”

The notion was supported by Iceland’s previous prime minister Bjarni Benediktsson and is now strengthened by the country’s new leader, Katrín Jakobsdóttir.

Upon her election, Jakobsdottir stated that her government’s emphasis will be on equality of the sexes, the treatment of sexual offences in Iceland, LGBT rights and welcoming more refugees to Iceland.

The legislation was also supported by Iceland’s governments opposition, in the country’s parliament, where nearly 50 per cent of members are women.

Iceland has consistently been ranked as the best in the world for gender equality by the World Economic Forum for nine years in a row, scoring highly for political empowerment and economic participation.

The pay gap in Iceland is currently 14 to 18 per cent, making it the globe’s most gender-equal country and is one of only five countries that has closed its gender pay gap by more than 80 per cent, along with Finland, Norway, Sweden, and the only non-Nordic country to achieve such a high score, Rwanda.

The UK came in 15th place in 2017, with a 16.9 per cent pay gap between men and women.

Rebecca joined the HRreview editorial team in January 2016. After graduating from the University of Sheffield Hallam in 2013 with a BA in English Literature, Rebecca has spent five years working in print and online journalism in Manchester and London. In the past she has been part of the editorial teams at Sleeper and Dezeen and has founded her own arts collective.

Latest news

Personalising the Benefits Experience: Why Employees Need More Than Just Information

This article explores how organisations can move beyond passive, one-size-fits-all communication to deliver relevant, timely, and simplified benefits experiences that reflect employee needs and life stages.

Grant Wyatt: When the love dies – when staying is riskier than quitting

When people fall out of love with their employer, or feel their employer has fallen out of love with them, what follows is rarely a clean exit.

£30bn pension savings window opens for employers ahead of 2029 reforms

UK employers could unlock billions in National Insurance savings by expanding pension salary sacrifice schemes before new limits take effect in 2029.

Expat jobs ‘fail early as costs hit $79,000 per worker’

International assignments are ending early due to family strain, isolation and poor preparation, as rising costs increase pressure on employers.
- Advertisement -

The Great Employer Divide: What the evidence shows about employers that back parents and carers — and those that don’t

Understand the growing divide between organisations that effectively support working parents and carers — and those that don’t. This session shows how to turn employee experience data into a clear business case, linking care-related pressures to performance, retention and workforce stability.

Scott Mills exit puts spotlight on risk of ‘news vacuum’ in high-profile dismissals

Sudden departure of a long-serving BBC presenter raises questions about how employers manage high-profile dismissals and limit speculation.

Must read

Paul Holcroft: How will reducing low-skill foreign workers impact UK employers?

We present a piece of expert advise for employers dependent on low-skill EU labour.

Marcus Thornley: How to make sure recruits feel welcome when onboarding remotely

"Employees can’t hit the ground running if they’re nervous and anxious, so the ideal onboarding process will support the confidence of a new joiner."
- Advertisement -

You might also likeRELATED
Recommended to you