A4-0143/97

Resolution on the Commission communication - A code of practice on the implementation of equal pay for work of equal value for women and men (COM(96)0336 - C4-0460/96)

The European Parliament,

- having regard to Article 119 of the EC Treaty and Article 6 of the Agreement on social policy concluded between the Member States of the European Community with the exception of the United Kingdom of Great Britain and Northern Ireland,

- having regard to Directive 75/117/EEC on the approximation of the laws of the Member States relating to the application of the principle of equal pay for men and women ((OJ L 45, 19.2.1975, p. 19.)),

- having regard to the Commission's communication on a code of practice on the implementation of equal pay for work of equal value for women and men (COM(96)0336 - C4-0460/96),

- having regard to the Commission's memorandum on equal pay for work of equal value (COM(94)0006),

- having regard to its resolution of 13 February 1996 on the memorandum on equal pay for work of equal value ((OJ C 65, 4.3.1996, p. 43. )),

- having regard to the report of the Committee on Employment and Social Affairs and the opinion of the Committee on Women's Rights (A4-0143/97),

A. whereas despite the existence since 1975 of the Equal Pay Directive the principle of equal pay for work of equal value continues not to be fully respected, as demonstrated by the continuing pay gap between men and women, a gap which has worsened during the recession,

B. whereas the continuing existence of pay inequality shows that legislation by itself is not necessarily always a sufficient instrument in tackling a problem or establishing a principle or minimum standard,

C. whereas the code of practice put forward by the Commission is a concrete and practical measure designed to tackle some of the insufficiencies of equal pay legislation by assisting those involved in establishing pay systems to respect better the equal pay principle,

D. whereas if the code of practice is taken into account and applied by governments, employers and employee representatives it should help to reduce pay inequalities between women and men,

E. whereas the code is unlikely to remove pay inequalities altogether since they persist as a result of continuing occupational segregation, both horizontal and vertical, in the labour market as evidenced by the over-representation of women in the low-paid sector; whereas more radical action is needed to restructure the labour market to remove such segregation,

F. whereas the pay gap between women and men is not helped by the fact that large numbers of women are trapped in 'atypical' employment contracts; whereas their position would be improved if the negotiations currently taking place between the social partners on atypical work were to lead to a Community-wide agreement or legal instrument which improved in a substantial way the contractual rights of atypical workers,

G. whereas in most cases the increase in decentralised wage bargaining has exacerbated unequal pay because women are less likely than men to be employed in companies and sectors where there are possibilities for productivity-related pay bargaining,

1. Welcomes the proposal for a code of practice, which in many respects follows the recommendations put forward by the Parliament; is convinced that the code could make a major contribution towards creating a more gender-neutral job classification and job evaluation system and could serve as an instrument to remove unfair wage elements such a unjustified bonuses and benefits not justified by job demands and work contributions; is further satisfied that the code of practice is considered as a practical tool for social partners and that they have been consulted throughout;

2. Stresses that the code of practice should apply to all employees (including apprentices and those working from home) whether on full-time, part-time, casual or temporary contracts, regardless of length of service;

3. Is convinced that an awareness and information campaign, targeted among others at the social partners and their representatives, is a vital step in efforts to reduce current wage differentials, many of which originate in gender-biased misconceptions of work content and work contributions; reminds the Commission and in particular the social partners that the code must be widely distributed to all levels involved in wage settlements to be effective; underlines that a special effort must be undertaken to disseminate the information to medium- sized and small enterprises and those employment groups which are female- dominated and to those in employment dominated by part-time, atypical work patterns and not by full-time and permanent employment;

4. Calls on the Commission to provide information, training and guidance for the social partners and their representatives involved in decisions about pay and benefits;

5. Agrees with the Commission that governments, in implementing the code with respect to the public sector, can play an important role in setting an example on how to apply the principle of equal pay for work of equal value; notes however that cutbacks in public spending may impact negatively on the value given to many jobs in healthcare, education, childcare and care of the elderly, and restrict the availability of accessible, good-quality care services on which many women and men depend;

6. Stresses that the first requirement to putting the code into practice is job evaluation but that job evaluation systems must be carefully constructed to ensure that they detect discrimination rather than perpetuate it; points out that to avoid gender-biased job evaluation the factors used to compare jobs must be those that reflect the value of both male and female work; insists that it is crucial to ensure the consultation and participation of workers, particularly female workers, when drawing up and applying job evaluation systems;

7. Calls on the Commission to undertake research on 'gender-free' job evaluation schemes and to prepare model job evaluation guidelines for use as a benchmark by the social partners;

8. Believes that further efforts should have been made to make a clear distinction between wage components which have their origin in societal developments and those which are mainly bound to wage settlements at the level of enterprises or firms, where gender-biased arguments are more easily introduced in wages;

9. Is somewhat worried that overly general descriptions of work demands and requirements have been introduced in the code, thus enabling wage negotiators to deviate from a gender-neutral description and consequently to settle on wages which are not transparent; transparency and access to information on these elements remain the most efficient tool for negotiations and comparisons;

10. Envisages that the implementation of this code of practice will be taken into account in disputes concerning the burden of proof in cases of discrimination based on sex; calls on the Commission and the Council to give early approval to the Directive on the burden of proof and, in so doing, to take account of the opinion of the European Parliament;

11. Urges the social partners, since it is principally through the collective bargaining process that equal pay for work of equal value will be established, to take all measures necessary to ensure that pay agreements respect non-discriminatory principles and to subject these collective bargaining processes to careful and regular review to avoid discrimination reappearing in remuneration systems in the future;

12. Considers it essential, if pay discrimination is to be eliminated, that women be involved in the collective bargaining process; calls on the social partners to demonstrate the steps they have taken to increase female representation and participation in their respective organisations and negotiating bodies;

13. Believes that the formulation of job evaluation systems and the application of the principle of equal pay for work of equal value through the collective bargaining process require detailed training and proper access to expert advice for those involved, including workers themselves; calls on the Commission to compile a database of experts and organizations in all the Member States able to give advice to employers and employees and their representatives on equal pay for work of equal value and to promote and encourage such expertise;

14. Believes that transparency both in job evaluation and collective bargaining is an essential prerequisite in any policy aimed at securing the principle of equal pay for work of equal value, and calls on Member States and the Commission to improve the availability of clear and up-to- date statistics on wage levels, especially at sectoral and inter-sectoral levels;

15. Calls on the Commission in monitoring the application of the code to collect examples of good or innovative practice and to facilitate their exchange and promotion as effectively as possible;

16. Calls on the Commission to monitor the implementation of the code of practice and, if in three years the measure has not resulted in the desired narrowing of the pay differential, to consider making the code of practice into a legally binding instrument; takes the view that, throughout the follow-up period, the code must recommend to employers and negotiators positive measures to benefit women who have suffered from discrimination;

17. Refers to the continuing unequal division between men and women of tasks involving care, which directly influences the professional activities of women and which must be considered to be one of the root causes of segregation on the labour market and therefore as regards pay;

18. Expresses the hope once again that, pursuant to the case-law of the European Court of Justice, Article 119 will be expanded in the new Treaty in such a way that the right to equal pay for work of equal value is enshrined therein;

19. Refers to the judgments of the European Court of Justice which lay down that equal pay for work of equal value must be achieved not only within a certain branch of industry but also beyond the boundaries of the various branches of industry; calls on the social partners and the competent authorities to ensure that this also happens in practice;

20. Calls on the Member States to set up a network of experts who will verify compliance with the legislation on remuneration, and to provide for procedures and penalties which will ensure that it is applied in practice;

21. Takes the view that it is very important for women to have better access to vocational training and to refresher courses and in-service training;

22. Instructs its President to forward this resolution to the Council, the Commission, the Economic and Social Committee and the European social partners.