The regulation of the Equal Pay Law.

On the 23rd and 24th of November, Decree nº 11,795/2023 and Ordinance nº 3,714/2023 were published, to regulate the Equal Pay Law (Law 14,611/2023), especially with regard to the Salary Transparency Report and of Remuneration Criteria and the Action Plan for Mitigating Inequality in Salary and Remuneration Criteria between Women and Men.

These standards clarified important points regarding the content of the Transparency Report, the deadlines for reporting information and the form of its publication, although several doubts still remain about the data that will actually be disclosed.

When dealing with the content of the Report, the Decree provides that it will be composed of two sections, the first of which will include the following information:

1. Position or occupation contained in the CBO, with respective duties; It is
2. Value:

– the contractual salary;

– the thirteenth salary;

– bonuses;

– commissions;

– overtime;

– nighttime, unhealthy, difficult, and dangerous supplements, among others;

– the third of vacation;

– prior notice worked;

– regarding paid weekly rest;

– tips; It is

– relating to the other installments that, by law or collective labor standard, make up the worker’s remuneration.

According to the Ordinance, such information will be collected by the Ministry of Labor and Employment itself directly from eSocial, where it is already provided by employers.

The second section of the Report will contain additional information that employers will report on the Portal Emprega Brasil, a service website of the Ministry of Labor and Employment, regarding:

1. existence of a career framework;
2. criteria for career growth;
3. incentive to hire women;
4. criteria adopted for promotion to leadership positions; It is
5. and support for sharing family obligations.

Such information will be provided and collected in the months of February and August of each year, and the Ministry of Labor and Employment will, based on this, prepare the Transparency Report and publish it in the months of March and September of each year. Companies, in turn, will be required to widely disseminate the document, through their websites, their partner networks or similar instruments.

The regulations issued by the Federal Government also determine that, once the report is issued, any disparities must be addressed by companies with more than 100 employees, after notification from the Labor Tax Audit, through an Action Plan to Mitigate Salary Inequality and Criteria Remuneration between Women and Men, which must include the participation of trade unions and employees.

Even though the legislation establishes that the data in the Report must be anonymized, in compliance with the General Data Protection Law (LGPD), there is still no clarity about the level of detail of the information that will be published by the MTE in the Report and especially whether there will be , or not, the disclosure of salary values by position. The topic raises concern for companies not only from the perspective of data protection, as anonymization may be an insufficient measure to protect privacy, but also in light of competitive aspects, as the definition of salaries is a strategic aspect of the business and, therefore, , confidential.

Likewise, there are doubts about the way in which justifications for possible salary disparities should be presented and evaluated, as the CBO is insufficient to do so. In effect, the CBO does not allow the identification of differences in functions actually performed, productivity and technical perfection, in addition to length of service in the company and in the function, and establishment of employee capacity for each position, factors that allow salary differentiation , in accordance with art. 461 of the CLT.

While these points are not resolved, it is important that companies with more than 100 employees now structure themselves to provide the required information and, if necessary, prepare Action Plans. A general assessment of CBOs, organizational charts and job and salary plans, if any, is recommended, as well as remuneration policies so that any distortions can be remedied from now on.

Our team is available for any additional clarifications on the topic.

Contributed to this article: Clarissa Barcelos, partner in the consultancy area and Isabella Magano, partner