Mandatory pay register: a key tool to ensure wage equality

 

A legal obligation for all companies

The pay register is a document that reflects, in detail, the company's wage policy. It must detail:

• Base salary.

• Salary supplements.

• Extra-salary benefits.

• Extraordinary payments.

The information must be classified by gender, category, or job position, in order to detect possible gender wage gaps and demand that any difference be duly justified.

It is important to emphasize that this obligation affects all companies, regardless of their size. From large corporations to SMEs and even self-employed individuals with only one employee must have this register, including top executives and managerial staff.

In companies with more than 50 employees, the regulations also require expressly justifying any gap exceeding 25%.

Pay register and audit

The register must be prepared and updated annually. In the case of companies required to implement an equality plan, this requirement is complemented by a pay audit.

The audit involves making an objective assessment of job positions and implementing corrective measures if unjustified inequalities are detected. This approach ensures that the analysis is realistic and focuses on the value of work, not just on the received remuneration.

Consequences of non-compliance

Failure to meet these obligations may result in significant financial penalties, as provided for in the Law on Offenses and Penalties in the Social Order (LISOS):

• Minor offenses: from €70.

• Very serious offenses: up to €225,018.

Beyond fines, the lack of a pay register can entail serious reputational damage for the company, as well as limit access to public aid or contracts with the Administration.

The pay register has become a crucial tool to ensure wage equality and promote fairer and more transparent work environments. For companies, it represents both a management challenge and an opportunity to strengthen their commitment to equality and corporate social responsibility.