On International Women’s Day, Iceland became the first country in the world to force companies to prove they pay all employees the same salary. Regardless of gender, ethnicity, sexuality or nationality now Ireland should pay equal salary to all employees.
This new law will be applicable to all the companies that have 25 or more staff. Companies have to get certificate demonstrating pay equality.
Why this decision?
In October 2016, thousands of female employees across various organizations in Iceland walked out of workplaces at 2.38 PM to protest against earning less than men.
But why 2:38 pm?
Here are few facts:
Iceland is ranked number one in the world for gender equality by the World Economic Forum for eight years running. However, as per women and trade organizations, on average Icelandic women still earn 14 to 18 per cent less than men.
Previously Switzerland has come up with the same policy, but Iceland is the first country to make it a mandatory requirement.
Iceland government has taken this decision as part of drive by the Nordic Countries to eradicate the gender pay gap by 2022. Nordic countries consist of Denmark, Finland, Iceland, Norway, and Sweden, including their associated territories (Greenland, the Faroe Islands, and the Aland Islands).