Spain

Prior to the new EU directive on pay equity, Spain had already implemented significant legislation aimed at promoting gender equality and pay transparency in the workplace. The country's efforts include Royal Decree 902/2020 and Royal Decree 901/2020, which were published in October 2020 and took effect in 2021.

Royal Decree 902/2020 focuses on establishing gender pay equity by mandating all companies, regardless of size, to maintain a remuneration register. This register contains detailed pay data broken down by gender, aiming to identify and address unadjusted gender pay gaps. For companies with 50 or more employees, additional requirements include conducting a remuneration audit and implementing a job evaluation system to ensure equal pay for work of equal value​ (Mercer | Welcome to brighter : https://www.mercer.com/insights/law-and-policy/spain-publishes-gender-equality-pay-transparency-laws/ )​.

Complementing this, Royal Decree 901/2020 mandates companies with 50 or more employees to negotiate and implement an equality plan. This plan includes a comprehensive analysis of the company's gender equality situation, covering areas such as hiring practices, professional classifications, training, and promotion opportunities, among others. The equality plan must outline corrective measures with a specified timeline and mechanisms for monitoring and evaluation. Notably, these plans require public registration, adding an additional layer of transparency​ (Employment Law Worldview:   https://www.employmentlawworldview.com/new-developments-in-spanish-equal-pay-and-equality-plans/ )​​ (Mercer | Welcome to brighter:  https://www.mercer.com/insights/law-and-policy/spain-publishes-gender-equality-pay-transparency-laws/) ​.

Together, these decrees represent Spain's proactive approach to eliminating gender pay disparities and fostering a more equitable workplace. They set a precedent for the type of measures other EU countries may adopt or enhance in response to the EU's Pay Transparency Directive.

Royal Decree 902/2020 and Royal Decree 901/2020, both enacted in Spain in 2020, introduce specific requirements for employers aimed at enhancing gender equality and pay transparency in the workplace. Here's a more detailed overview of what each decree entails:

Royal Decree 902/2020: Equal Pay

Royal Decree 902/2020, which took effect on April 14, 2021, focuses on ensuring that men and women receive equal pay for work of equal value. It outlines several key actions:

• Remuneration Register: All companies must maintain a remuneration register that includes disaggregated pay data for all employees, including bonuses and extra pay, broken down by gender. This register must be updated annually.
• Remuneration Audit: Employers with 50 or more employees are required to conduct a remuneration audit. This audit is a detailed analysis of pay data aimed at identifying and addressing adjusted gender pay gaps.
• Job Evaluation System: For companies with 50 or more employees, implementing a job evaluation system is mandatory. This system evaluates job classifications based on objective criteria to prevent bias or discrimination.
• Employee's Right to Information: Employees have the right to access information about pay levels and criteria used for determining pay, promoting transparency within the organization.

Royal Decree 901/2020: Equality Plans

Royal Decree 901/2020, effective from January 14, 2021, mandates the creation and implementation of equality plans for larger employers:

• Equality Plan Requirements: Companies with 100 or more employees were required to negotiate an equality plan by March 7, 2021. Companies with 50 to 99 employees had until March 7, 2022, to do the same.
• Content of Equality Plans: The equality plans must include an analysis of the company's situation regarding gender equality across various dimensions (e.g., hiring practices, promotions, training) and outline specific measures to address identified issues.
• Public Registration: These plans must be registered publicly, adding a layer of transparency and accountability.
• Duration and Renewal: The maximum duration of an equality plan is four years, though circumstances such as significant changes in the company's structure could necessitate earlier renewal.

Mandatory Actions for Employers

Based on these decrees, employers are mandated to maintain up-to-date remuneration registers, conduct remuneration audits (for those with 50 or more employees), and negotiate and implement equality plans (also for those with 50 or more employees). These steps are designed to identify, address, and prevent pay disparities between genders and foster a more inclusive workplace.

Official Sources for Full Text

For the official, full-text versions of these decrees, you can refer to the official Spanish government's legal database:

• Royal Decree 901/2020: The full text is available on the Boletín Oficial del Estado (BOE) https://www.boe.es/buscar/doc.php?id=BOE-A-2020-12214 .
• Royal Decree 902/2020: You can find the official text here on the Boletín Oficial del Estado (BOE)   https://www.boe.es/buscar/act.php?id=BOE-A-2020-12215 .

These sources will provide you with comprehensive details about the requirements, scope, and implementation guidelines of each decree.  

The two documents you provided, BOE-A-2020-12215-consolidado.pdf and BOE-A-2020-12214.pdf, cover comprehensive regulations related to the implementation of equal pay and the creation and registration of equality plans within organizations in Spain. Here's a summary of the key points from each document:

BOE-A-2020-12215-consolidado.pdf: Equal Pay Regulation (Real Decreto 902/2020)

This regulation establishes measures to ensure equal pay for women and men for work of equal value. It emphasizes transparency in compensation, requiring companies to maintain a salary register and conduct salary audits to identify and correct discriminatory wage gaps.

• Objective: To ensure the effective realization of the right to equal treatment and non-discrimination between women and men in terms of compensation.
• Scope of Application: Applies to labor relations regulated by the Statute of Workers.
• Key Components:
  • Transparency Principle: Companies and collective agreements must integrate and apply the transparency principle to disclose sufficient and meaningful information on compensation, enabling the identification and correction of potential direct and indirect discrimination.
  • Equal Pay for Equal Value: Defines the criteria for considering work of equal value, considering the nature of tasks, educational requirements, professional conditions, and working conditions.
  • Transparency Instruments: Includes salary registers, salary audits, a system for job evaluation within professional classification, and the right to information for workers.
  • Administrative and Judicial Protection: Information derived from the application of this regulation can support individual and collective administrative and judicial actions, including possible discrimination sanctions.

BOE-A-2020-12214.pdf: Regulation on Equality Plans (Real Decreto 901/2020)

This regulation outlines the requirements for the creation, implementation, and registration of equality plans within companies, enhancing the legal framework for promoting gender equality in the workplace.

• Objective: To specify the obligations for companies regarding the negotiation, creation, and implementation of equality plans, including their contents, diagnosis, audit, and monitoring.
• Scope of Application: Companies with fifty or more employees are required to develop and apply an equality plan.
• Key Components:
  • Negotiation Process: Defines the procedure for negotiating equality plans, including the constitution of a negotiating committee.
  • Diagnosis: The equality plan must start with a diagnosis of the situation regarding gender equality within the company, covering various aspects like pay, working conditions, and promotion opportunities.
  • Content of Equality Plans: Must include a diagnosis of the situation, objectives, strategies, and measurable actions, as well as systems for follow-up and evaluation.
  • Registration: All equality plans must be registered in a specific registry, fulfilling transparency and accessibility requirements.

Both regulations represent significant steps towards promoting gender equality and combating pay discrimination in Spain. They provide a framework for companies to proactively address and correct inequalities in pay and employment conditions between men and women.

For a more detailed and focused summary, let's delve into the specific aspects and requirements set forth by each regulation:

BOE-A-2020-12215-consolidado.pdf: Real Decreto 902/2020 on Equal Pay

This regulation mandates comprehensive measures to ensure transparency and fairness in pay structures, aiming to eliminate gender-based wage disparities. It specifies:

• Transparency in Compensation: Companies must maintain detailed records of employee compensation, including average and median salaries, bonuses, and extra pay, broken down by gender and job classification.
• Salary Audit Requirements: Companies are required to conduct salary audits as part of their equality plans. These audits must assess the fairness of the company's pay system and identify any unjustified wage gaps between male and female employees.
• Job Evaluation: The legislation establishes criteria for evaluating work of equal value, considering factors such as the nature of tasks, required qualifications, professional demands, and working conditions. This is to ensure that jobs are assessed in a gender-neutral way, focusing on the job's requirements rather than who holds the position.

BOE-A-2020-12214.pdf: Real Decreto 901/2020 on Equality Plans

This regulation outlines the process for developing, implementing, and registering equality plans within organizations, focusing on:

• Mandatory Equality Plans: Companies with 50 or more employees are required to create and implement an equality plan, detailing actions to ensure gender equality across various areas, including recruitment, promotion, training, and work-life balance.
• Negotiation and Development Process: It specifies the procedure for negotiating these plans, including forming a negotiation committee and ensuring the involvement of legal worker representatives in the diagnosis phase and throughout the plan's development.
• Content and Objectives of Equality Plans: The plans must include a diagnostic analysis of the company's situation regarding gender equality, set specific, measurable objectives for improvement, and outline strategies and actions to achieve these objectives.
• Registration and Transparency: All equality plans must be registered in a specific registry to enhance transparency and allow for public accountability. This registry aims to make the plans accessible and to monitor companies' progress toward gender equality.

Together, these regulations represent a structured approach to promoting gender equality in the workplace, requiring organizations to actively assess, address, and monitor disparities in pay and employment conditions between men and women. They enforce a higher degree of accountability and transparency, pushing companies to make concrete changes towards equal treatment and opportunities for all employees, regardless of gender.

Certainly! Here's a to-do list for companies to comply with both Real Decreto 902/2020 on Equal Pay and Real Decreto 901/2020 on Equality Plans:

Compliance with Real Decreto 902/2020 on Equal Pay

1. Establish a Salary Register:

Compile detailed records of employee compensation, including salaries, bonuses, and extra pay, broken down by gender.

Ensure the register includes average and median figures for each category and job classification.

2. Conduct a Salary Audit:

Perform a comprehensive audit of the company's pay system to assess its fairness and transparency.

Identify any unjustified wage gaps between male and female employees.

3. Evaluate Jobs for Equal Value:

Implement criteria for evaluating work of equal value, focusing on the nature of tasks, required qualifications, professional demands, and working conditions.

Ensure job evaluations are gender-neutral and based strictly on job requirements.

Compliance with Real Decreto 901/2020 on Equality Plans

1. Formulate an Equality Plan:

If your company has 50 or more employees, start developing a comprehensive equality plan.

For companies with fewer than 50 employees, consider voluntarily creating an equality plan as a best practice.

2. Set Up a Negotiation Committee:

Establish a committee to negotiate the equality plan, involving legal worker representatives and relevant stakeholders.

3. Perform a Diagnostic Analysis:

Carry out a diagnostic analysis to assess the current state of gender equality within your company.

Identify areas for improvement, including recruitment, promotion, training, work-life balance, and pay structure.

4. Define Objectives and Strategies:

Based on the diagnostic analysis, set specific, measurable objectives for promoting gender equality.

Outline clear strategies and actions to achieve these objectives.

5. Register the Equality Plan:

Once developed, ensure that your equality plan is registered in the specific registry established by the government.

Maintain transparency by making the plan accessible and monitoring its implementation progress.

6. Review and Update Regularly:

Regularly review the effectiveness of your equality plan and salary register.

Update both as necessary to ensure ongoing compliance and improvement in gender equality measures.

By following this to-do list, companies can take concrete steps towards ensuring gender equality in the workplace and comply with Spanish regulations on equal pay and equality plans.

Absolutely, let's break down each step into more detailed actions to ensure full compliance with both Real Decreto 902/2020 on Equal Pay and Real Decreto 901/2020 on Equality Plans:

Establish a Salary Register

Gather Compensation Data:

Collect data on all forms of compensation, including base salaries, bonuses, and any extrasalary components, for all employees.

Ensure accuracy and completeness of data for a reliable analysis.

Categorize Data by Gender and Job Classification:

Organize the compensation data by gender within each job classification, group, or level, as applicable in your organizational structure.

Calculate Averages and Medians:

For each category and job classification, calculate the average and median of salaries, bonuses, and extrasalary components, separately for male and female employees.

Document and Update the Register:

Document all calculations and categorizations in a formal salary register.

Plan regular updates to this register to reflect changes in compensation or employee structure.

Conduct a Salary Audit

Plan the Audit Scope and Objectives:

Define what the salary audit aims to achieve, specifying the scope, objectives, and any particular areas of concern for gender pay gaps.

Analyze the Salary Register:

Use the salary register to identify disparities in pay between male and female employees.

Look for patterns or anomalies that suggest unjustified pay differences.

Identify Causes of Pay Gaps:

Investigate the reasons behind any identified pay gaps.

Consider external factors, job valuation methods, and historical data during the analysis.

Develop an Action Plan:

Based on audit findings, outline actions to address and rectify identified pay gaps.

Include timelines, responsible parties, and expected outcomes in the plan.

Evaluate Jobs for Equal Value

Establish Evaluation Criteria:

Develop or adopt criteria for evaluating jobs based on the nature of tasks, required qualifications, professional demands, and working conditions.

Conduct Job Evaluations:

Apply the evaluation criteria to assess the value of different jobs within the company.

Ensure that the evaluation process is free from gender bias.

Compare and Analyze Results:

Compare evaluation results to ensure that jobs of equal value receive equal pay.

Identify and address any discrepancies that are not justified by objective factors.

Formulate an Equality Plan

Determine Plan Scope and Objectives:

Define the equality plan's goals, focusing on promoting gender equality across various dimensions such as recruitment, training, promotion, and work-life balance.

Engage Stakeholders:

Involve employees, management, and worker representatives in the planning process.

Ensure that all voices are heard and considered.

Set Up a Negotiation Committee

Identify Committee Members:

Select representatives from management, employees, and any existing worker representation bodies.

Establish Committee Procedures:

Define the committee's operating procedures, including meeting schedules, decision-making processes, and communication protocols.

Perform a Diagnostic Analysis

Collect and Analyze Data:

Gather data on gender representation, pay structures, recruitment and promotion rates, training opportunities, and any other relevant areas.

Analyze the data to identify existing inequalities and areas for improvement.

Draft Diagnostic Report:

Compile the findings into a comprehensive diagnostic report.

Highlight key issues, potential causes, and recommendations for addressing gender inequalities.

Define Objectives and Strategies

Set Measurable Objectives:

Based on the diagnostic analysis, set clear, measurable goals for achieving gender equality within a specified timeframe.

Develop Detailed Strategies:

Outline specific strategies and actions to meet the set objectives.

Assign responsibilities and resources for implementing each strategy.

Register the Equality Plan

Prepare Documentation:

Compile the equality plan and any supporting documents required for registration.

Submit for Registration:

Submit the plan to the designated government registry.

Follow any specific submission guidelines or procedures.

Publish and Communicate:

Once registered, publish the plan internally and externally as appropriate.

Communicate the plan's objectives and strategies to all employees and stakeholders.

Review and Update Regularly

Monitor Progress:

Establish regular monitoring and reporting mechanisms to track progress against the plan's objectives.

Evaluate and Adjust:

Periodically evaluate the effectiveness of the plan and its strategies.

Make necessary adjustments based on evaluation results and changing organizational needs.

Update Plan and Register:

Update the equality plan and salary register as required.

Re-register the plan if significant changes are made.

By following these detailed steps, companies can ensure they not only comply with the regulations but also make meaningful progress towards gender equality in the workplace.

Yes, leveraging the International Standard Classification of Occupations (ISCO) can be an effective strategy for evaluating jobs for equal value, as required under Real Decreto 902/2020 for equal pay compliance. ISCO provides a framework to categorize and compare jobs based on skill level and type of work, making it a useful tool for assessing job value in a standardized and objective manner. Here's how you can leverage ISCO for this task:

Understanding ISCO

1. Familiarize with ISCO Structure: ISCO classifies jobs into major groups, sub-major groups, minor groups, and unit groups based on the nature of the job, the required level of skill, and the field of knowledge necessary. Understanding this hierarchical structure will help in accurately categorizing positions within your organization.

2. Analyze Job Requirements: For each position in your company, analyze the tasks, duties, and responsibilities. Match these with the closest ISCO classification by considering the nature of the work and the skills required. This step ensures that jobs are compared on a like-for-like basis across the organization and beyond.

Conducting Job Evaluations Using ISCO

1. Mapping to ISCO Categories: Once you have detailed job descriptions, map each position to the appropriate ISCO category. This mapping will help in identifying jobs of equal or similar value by comparing their skill levels and types of work as defined by ISCO.

2. Evaluating for Equal Value: With jobs mapped to ISCO categories, assess which positions are of equal value. Consider factors such as the complexity of tasks, level of responsibility, skills and qualifications required, and working conditions. Jobs mapped to the same or similar ISCO categories might be considered of equal value, provided other job valuation factors align.

3. Identify Disparities in Compensation: Use the ISCO-based job evaluation to identify if there are disparities in compensation among jobs of equal value. This step is crucial for compliance with equal pay regulations, as it highlights where unjustified pay gaps may exist.

Implementing Changes Based on ISCO Evaluation

1. Adjusting Pay Structures: If disparities in pay are identified for jobs of equal value, adjust your company's pay structures to ensure compliance with equal pay for equal work mandates. This may involve raising salaries for undervalued positions or reevaluating compensation policies to prevent future disparities.

2. Updating Job Descriptions: Use insights from the ISCO-based evaluation to refine job descriptions, ensuring they accurately reflect the responsibilities, skills, and qualifications necessary for each position. This will aid in future job evaluations and recruitment processes.

3. Ongoing Monitoring: Regularly review and update your job evaluations against ISCO standards to ensure continuing compliance with equal pay regulations. As jobs evolve and new positions are created, this will be an essential process for maintaining fairness in compensation across your organization.

Documentation and Communication

1. Document the Process: Keep detailed records of the job evaluation process, including how each job was mapped to ISCO categories, the rationale for determining jobs of equal value, and any compensation adjustments made.

2. Communicate Changes: Clearly communicate any changes in job categorizations or pay adjustments to affected employees. Transparency in the evaluation process and outcomes is crucial for maintaining trust and demonstrating commitment to gender equality and fair compensation practices.

Leveraging ISCO for evaluating jobs for equal value offers a structured and internationally recognized approach to ensure that your organization meets the requirements of equal pay regulations efficiently and effectively.