The European Parliament has approved stricter rules for more wage transparency. Companies in the EU with more than 100 employees will in future have to disclose information on salary differences between men and women. On Thursday in Brussels, the EU Parliament voted in favor of such a regulation with 427 votes to 79 and 76 abstentions.

For companies with fewer than 100 employees, this obligation only applies as soon as they are asked to do so by an employee. The new regulation aims to make it easier to compare salaries and uncover any differences in wages. EU countries have yet to agree, which is considered a formality.

According to the information, women in the EU earn an average of 13 percent less than men. The so-called gender pay gap has narrowed only minimally in recent years.

Non-disclosure clauses about the salary should therefore be prohibited in contracts. According to the will of the EU, a mandatory investigation together with employee representatives is also planned if a wage difference of five percent or more is found in a company.

When employers failed to respect equal pay obligations, workers would have the right to seek compensation.

Press release from the EU Parliament