might and innovations whose time might have come. If they are not in compliance, they face a fine of about $500 a day. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. When Icelanders found out it would be another 122 years before they closed the gender pay gap at the current rate, that was unacceptable. ", Sam Smethers, who campaigns for women's rights as CEO of the Fawcett Society, said equal pay "isn't just about what is in women's interests.". It is now illegal for men to be paid more than women in the small Nordic island country of Iceland. 3. For the past nine years, it has placed top in the World Economic Forum's Global Gender Gap Report, which measures differences between men and women in health, economics, politics and education. Based on the earnings of full-time workers from 1959-2017, the wage gap in the U.S. will not close until 2059. Iceland's new leader: 'People don't trust our politicians', Tesco equal pay claim could cost supermarket up to £4bn, Trust is broken at BBC over equal pay, Carrie Gracie tells MPs, Mothers working part-time hit hard by gender pay gap, study shows. Iceland has taken a big step in its attempt to close the gender pay gap by making illegal to pay women less than men for the same job. Disclaimer. The New Year ushered in a new wage policy in Iceland, where it is now illegal for companies to pay men more than women for the same job. Iceland just made it illegal to pay women less than men for the same work, becoming the first country to do so, HuffPost reports. In a parliament where nearly 50 percent of all members are women, Iceland has passed a new law making it illegal to pay men more than women. In eleven years, less than three minutes has been gained anually towards eliminating the gender pay gap, English-language Icelandic news site Grapevine reported. On Jan. 1, Iceland made it illegal to pay men more than women—an inequality that exists (with respect to average gross hourly and annual income) in … Under new legislation, which came into force on Monday, agencies of government and companies employing more than 25 people will have to prove they offer pay parity to employees regardless of gender, nationality, race or sexuality. Morningstar: © 2018 “The standard is simply designed to eliminate factors that are irrelevant by law – such as gender. She served from 1980 to 1996. the first country in the world to legally enforce equal pay, international ISO environmental management standards, Iceland’s women famously went on strike for a day. Some in Iceland still do oppose it, albeit cautiously. At Go Overseas, we strive to provide the most comprehensive program and gap year listings available. In Iceland it is now Illegal to Pay Women less. “You need to put resources into it. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. But we now have clear guidelines to follow, courses to go on, specialist software, new consultants to help. What else should we cover? The fine for those that do not comply is ISK50,000 (£350) a day. So Valdimarsdóttir and her association were one of many campaign groups to back a plan that finally resulted, last month, in the island becoming the first country in the world to legally enforce equal pay. Starting January 1, Iceland will make it illegal to pay men more than women. Even here, the patriarchal culture, a male sense of entitlement, is deep-rooted. For nearly a decade, it has been rated. “The pay gap was hidden behind a lack of transparency,” says Magnea Marinósdóttir of the welfare ministry’s equality unit, noting that the standard could be used to justify a pay difference as much as to eliminate it. If they fail to do so, they risk being fined. It will force employers to think differently.”, It will not be straightforward, she concedes. Employers still have the option of rewarding their workers based on experience, performance and other aspects. One country — and yes, sadly only one, and the first one to do so — has recently made gender-based pay discrimination illegal. In March 2017, the Icelandic government promised to eliminate the gender pay gap by 2022. Ladies of Iceland, rejoice: The country implemented a new law Monday that will make it illegal for male employees to be paid more than women doing the same job. Employers will face fines if they are found to be in violation. Factset: FactSet Research Systems Inc. 2018. The reasons link to legal, social and economic factors, and extend beyond 'equal pay for equal work'. “It was a carrot, win-win,” Sigurðsson says. Actress and gender equality campaigner Patricia Arquette tweeted: "Yoo Hoo!! Anything to do with care or education is paid less.”. Discrimination based on gender is already illegal in many countries -- but research shows the legislation is far from effective. ‘Iceland has made it illegal to pay women less than men!’ crowed headlines in January, to a huge collective cheer and social media high-fives. It’s easier for big companies, with whole HR departments.”. Iceland has the best track record on gender equality in the world, according to the World Economic Forum. In 2015, women earned 14-20% less than men, according to Statistics Iceland. “It has been illegal for decades, for jobs that are worth the same, to pay people differently because of gender, but still it happens – it’s simply been allowed,” says Valdimarsdóttir, who is now the chair of the Icelandic Women’s Rights Association, in her bright offices in the country’s capital. Turns out, it might be good for business. Gender inequality is wrong. Could it be because news is almost always grim, focusing on Tackling gender inequality and discrimination is good for business and for all of us," she said. How long will it take to close the gender pay gap? But despite the country's global leadership, Icelandic women were still paid 78.5% of men's total employment income in 2014, according to the country's welfare ministry. Iceland has become the first country in the world to mandate that women receive the same pay as their male colleagues for doing the same work. Iceland has been at the forefront of fighting gender inequality for years. under which this service is provided to you. Bjarni Benediktsson, the former prime minister of Iceland, made the announcement on International Women's Day last year, adding that the country wants to eradicate the gender pay gap by 2022. The UK reported an average 16.9% pay gap between men and women in 2017. And the public shame, it is hoped, will be worse. ", Yoo Hoo!! Under the new legislation that came into effect on 1 January, companies and government agencies with more than 25 employees will be required to obtain government certification for their equal-pay policies. 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. On the face of it, Iceland is a good place to be a woman. The current gender pay gap in Iceland is about 14% to 18%; the government reportedly plans to eradicate it by 2022. Now Iceland has become the first country in the world to enforce equal pay, First published on Tue 20 Feb 2018 01.00 EST. Ever wondered why you feel so gloomy about the world - even at a time when humanity has never been this healthy and prosperous? All rights reserved. As it stands, the legislation is staggered over four years. For nearly a decade, it has been rated the world’s most gender-equal country. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2018 Beginning on January 1, 2018, it's illegal for companies in Iceland to pay male employees more than their female counterparts. At the beginning of 2018, Iceland made it illegal to pay men more than women – and now they’re enforcing it. All Rights Reserved.Terms To achieve this lofty goal, the island introduced a new measure to help policymakers meet that objective.. Closing over 85 percent of its overall gender gap, Iceland made it illegal for women to be paid less than men in January 2018. In Iceland it is now Illegal to Pay Women less- https://t.co/4HBI9gdvJ7, Tennis player Billie Jean King added: "Iceland again leading in the equality movement. It’s doable. ‘We have had legislation saying that pay should be equal for men and women for decades now, but we still have a pay gap.’ The pay gap in Iceland is currently 14 to 18 per cent, which already makes it the globe’s most gender-equal country, as ranked by the World Economic Forum (WEF) for nine years in a … should report on by contacting us at theupside@theguardian.com, Rósa Guðrún Erlingsdóttir, head of the equality unit at Iceland’s welfare ministry, says equality “won’t come about by itself, from the bottom up alone. Photo: Unsplash Despite all the recent strides toward equality, the gender pay gap is still a very real thing in America and beyond. The standard was published in 2012 and welcomed by Iceland’s trade unions and employers, who helped design it. New Law In Iceland Aims At Reducing Country's Gender Pay Gap The law, which went into effect on Monday, requires employers with 25 workers or more to prove that they pay … But the country still had a persistent pay gap just over 16 percent as of last year. Within five years, by “putting the gender glasses on before taking every single decision”, it had boosted the proportion of women in management positions from 29% to 49%. The gap between men’s and women’s pay is a global problem. To be effective, pay equity laws need to be combined with strong protections for union organizing and collective bargaining. Companies that fail to… Iceland has made it illegal to pay men more than women. The law requires organizations with at least 25 full-time employees to receive government certification that they’ve demonstrated pay equality. Several companies already have.”. The government has committed to closing the gender pay gap by 2022. For many, the legislation reflects the fact that more than 40 years after 90% of Iceland’s women famously went on strike for a day, the country “is not quite the gender-equality paradise it’s often painted”, says Annadís Gréta Rúdólfsdóttir, an assistant education professor. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. It's a step to eradicate the wage gap by 2020 and companies will need to pass certification that they have equal pay for men and women. Like Iceland, the U.S. has laws in place – such as the Equal Pay Act of 1963 and Title VII of the Civil Rights Act of 1964 – outlawing pay disparity on paper, but currently no such laws are quite as rigorous in practice. A new law making it illegal to pay men more than women has taken effect in Iceland. “This will not eliminate the gender pay gap overnight,” says Maríanna Traustadóttir, an equality adviser at the Icelandic trade union confederation ASI. The law came into effect on Monday and applies to all companies and organizations with at least 25 full-time employees. With the new law in effect, the Icelandic government hopes to close the gap entirely by 2022. The possible fines are set at around $500 per day in the current legislation. Closing the pay gap could add an extra $250 billion to the GDP of Britain, $1,750 billion to that of the United States, and $2.5 trillion to China's GDP, it said. Iceland has become the first country in the world to make it illegal for men to earn more money than women for doing the same job. “That WEF index is fairly crude. ... law was announced on March 8 on International Women's Day 2017 as part of a drive by the nation to eradicate the gender pay gap by 2022. Despite an equal pay act that dates back to 1961, Icelandic women still earn, on average, between 14% and 20% less than men. Showing why it's a leader in gender equality, Iceland's new legislation makes it illegal to pay men and women differently for the same job. confrontation, disaster, antagonism and blame? Iceland’s commitment to closing its gender pay gap by 2022 comes as other countries across the world are stalling on economic gender parity. Equal pay - paying men and women the same for jobs of equal value - has been a legal requirement in Iceland, the UK and many other countries for decades. “Employers can take into account experience, qualifications – it’s just that it now has to be transparent, and justified,” Marinósdóttir adds. As first reported on Al Jazeera, the legislation, which came into force on Monday, the first day of 2018, makes Iceland the first country in the world to legalise equal pay between men and women. Women are paid less than men in every country in the world, according to research by the World Economic Forum. "Holding women back holds our economy back. “The legislation will take some time to bed in, of course,” Valdimarsdóttir says. It doesn’t reflect the pay gap, or gender-based violence. series is an antidote, an attempt to show that there is plenty of hope, Iceland’s equal pay law will certainly bring the country much closer to eliminating compensation disparities, but there are still some obstacles in the way. For the latest business news and markets data, please visit CNN It was, however, designed to be voluntary. 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. The policy requires companies with more than 25 employees to certify that they pay equally, regardless of gender or ethnicity. n the face of it, Iceland is a good place to be a woman. Our experience is that you need legislative measures to move things forward and equal pay are not the same the. 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