Equal work and work of equal value

 
Discrimination on the basis of gender is prohibited in respect of all aspects of remuneration and working conditions for equal work or work of equal value.

Illustration of two doorbell signs with the inscriptions “Equal pay” and “Equal work” – symbolic image for equivalent work

The Remuneration Transparency Act prohibits discrimination in remuneration on the basis of gender. The decisive factor is whether the work is the same, similar or equivalent. The terms ‘equal work’ and ‘equal value’ are not synonyms.

Equal work is when the same or similar work is done at different workplaces or one after the other at the same workplace, Section 4 (1) EntGTranspG. In order to be able to speak of equal work, employees must be able to replace each other if necessary (BT-Drs. 18/11133, p. 51). Whether the work is equal must be determined by a comprehensive comparison of the activities.

The concept of work of equal value goes beyond this. Work of equal value exists if, based on a set of factors, employees can be considered to be in a comparable situation, Section 4 (2) EntGTranspG. What matters is the equal value of the work.

Work is considered of equivalent value if the tasks to be performed achieve an objectively comparable assessment result in terms of requirements and stress.

Factors to be taken into account include the type of work, training requirements and working conditions. If necessary, subcategories can be created for a more detailed description, e.g.:

  • specific qualifications and skills required,
  • responsibility (e.g. for machines, for a large budget or for people in the context of social activities) and
  • physical and psychological stress (dynamic and static muscle work or one-sided dynamic muscle work).

Remuneration Transparency Directive

The Remuneration Transparency Directive, which has yet to be transposed into German law, also recognises the concepts of equal work and work of equal value, Art. 4(1) EntgTransp-RL. Work must have comparable value based on objective and gender-neutral criteria. These criteria include skills, stress, responsibility and working conditions and, where applicable, any other factors relevant to the specific job or position.

The question of which activities are equivalent will become much more relevant in future, particularly due to the right of employees to information about their individual pay and the average pay levels provided for in Article 7 of the Directive.

Conclusion

The concept of equivalent activity will therefore increasingly occupy practitioners and courts in future.

Summary of the key facts

  • Equal work means identical or similar work at different workplaces or consecutively at the same workplace
  • In the case of work of equal value, a comparable situation is taken as a basis
  • The Pay Transparency Directive will make the concept of work of equal value even more relevant in the future