Best Parental Leave Policy in the World. Last year, Iceland became the first country to make companies responsible for paying men and women equally. Businesses that employ more than 25 people are now required to obtain a government certificate demonstrating pay equality, or they will face fines. Although Iceland first passed legislation on equal pay as early as 1961, the gender pay gap persisted. As for how to tackle the root of the problem, the answer is still unknown. It went into effect on Jan. 1. / CBS News. In this case, women are still paid less than men, because most of them are office workers at the Directorate of Customs. OMARSDOTTIR: Well, we in Iceland have had an equal pay law in effect since 1961. And NPR reported that the state of Minnesota now enforces equal pay law ... the legislation will go into effect in 2020, ... Keywords iceland equal pay wage gap wage inequality. The gender pay gap is an especially fraught issue in Iceland, where women have had much better luck winning equal footing in government than in the workplace. Employers in the Nordic country now have to prove that they pay men and women in the same jobs equally. Companies and institutions with more than 250 employees are required to obtain certification by the end of this year, because they have more resources and infrastructure to implement the standard. Iceland is the first country to take the fight against the gender pay gap a step further, requiring companies to proactively get equal pay certification from the government. If the country reached full gender parity, the WEF estimated, it could add $1.7 trillion to the economy. The trade unions proposed that we should develop some kind of equal pay mechanism, which quickly developed into the methodology of an international management standard. A grand, continuously updated database of Iceland's main restaurants, clubs, cafes, shops, museums, tours and tourist attractions as well as a thorough events listing. “That was an ongoing project between 2013 and 2016. And that was in development between 2008 and 2012.”, Hannes G. Sigurðsson, Deputy Director General at SA–Business Iceland, was one of the people who helped draft the Equal Pay Standard. “Part of the solution is rethinking our economic system, how we value these different jobs and why we value them in this way.”, Next: 36 Bankers, 96 Years In Jail Stockholm, April 5 Iceland’s Parliament has presented a Bill that would require public and private businesses to prove they offer equal pay to employees, in what would be the first such requi Staðlaráð Íslands, an independent association that publishes Icelandic standards. “It is a matter of justice, and a matter of basic human rights,” Þorsteinn says. You’re not allowed to copy it or post it anywhere. You’re not allowed to copy it or post it anywhere. Otherwise, they risk being fined. “. The new Equal Pay Certification law took effect in Iceland at the beginning of this year. West Reykjavík Considers Rapper Statue, Your essential guide to life, travel and entertainment in Iceland. Iceland, long considered to be the global leader on gender equality in the workforce, recently took another step forward to close the gender wage gap. Delivers comprehensive content on all of the main topics of discourse in Iceland at each time: in cultural life, politics or general social affairs. And its new law requires companies with 25 or more employees to obtain certification to confirm that equal pay is a reality for all employees, regardless of gender. READ MORE: Iceland to become first country to make companies prove they offer equal pay The bill was tabled and passed last spring, but only took effect on New Year’s Day. Hannes from SA–Business Iceland thinks that the standard is an extra burden for companies and it should be kept voluntary. First published on January 3, 2018 / 2:18 PM. The new law, which came into force on New Year's Day, … “One of the main worries we had was that the Equal Pay Standard is copyrighted,” says Halldóra. The walkout was timed to highlight the calculations of women's rights groups, who say the pay gap means after that time each day, women are working for free. “It started back in 2008 as a voluntary initiative initiated by the social partners. The new Equal Pay Law addresses pay discrepancies between women and men who are doing work of equal value. In an eyebrow-raising move, the country this year launched a new law requiring public and private employers to show that all employees are being paid equally for equal work. A new law makes equal pay for … The law mandates employers to undergo equal pay certification using the Equal Pay Standard, an equal pay management system developed in Iceland. The gap is the smallest it's been since 1960, but it has also been closing much more slowly since the 1980s. A major turning point in the global fight for gender pay parity was marked on January 1, 2018 when a new Icelandic law on pay certification came into force. Until now women in Iceland have earned an average 19% less than their male colleagues. “There’s increase in employee satisfaction after implementing the standard because people have more confidence in how the company rewards or decides on pay. The new Equal Pay Law addresses pay discrepancies between women and men who are doing work of equal value. Even though the law doesn’t tackle this problem directly, it will help companies and institutions focus on gender and change their approaches. Powered and implemented by FactSet. “We used that framework to develop the Equal Pay Standard.”, After the standard was completed in 2012, the first pilot project began a year later. In October, thousands of Icelandic women left work at 2:38 p.m. to protest the gender pay gap. He was also the Managing Director of SA, Hannes G. Sigurðsson, Deputy Director General at SA–Business Iceland, was one of the people who helped draft the Equal Pay Standard. One of the main tasks Icelandic companies and institutions face is to define which jobs are of equal value. The law would take effect from January. First it was New Zealand.Now another small country has joined a global effort to try narrow the gap in pay between genders: Iceland. Now one country has decided to end the gender pay gap once and for all. The bill was initially introduced by Þorsteinn Víglundsson, who served as the Minister of Social Affairs and Equality in 2017. In 2015, women earned 14-20% less than men, according to Statistics Iceland. . Although Iceland first passed legislation on equal pay as early as 1961, the gender pay gap persisted. Iceland's world-first gender pay laws come into effect, requiring businesses with 25 or more employees to prove they are paying men and women fairly to do the same jobs. “The Equal Pay Law will help companies and institutions eliminate whatever gender-based bias there may be in pay, and it also helps them identify indirect work selection, like why women are not taking on certain jobs rather than others,” he says. In order to obtain certification, companies and institutions need to implement an equal pay management system following guidelines in the Equal Pay Standard. She had a few concerns when the law was being discussed in the Parliament. Iceland's biggest and most widely read tourist publication. If … “We looked at the model of other international standards like environmental standards, management standards and quality standards,” Hannes explains. Download Appening to find out about every single event happening in the greater-Reykjavík area Today. January 3, 2018 / 1:37 PM The fight for gender equality in Iceland Any feminist can tell you that the aforementioned steps are definitely great strides forward for women, but they did not happen overnight. Iceland has made it very difficult to pay women less than men. 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