
What is it and who is required to create a pay register
The pay register is a requirement established by Article 28.2 of the Workers’ Statute, which mandates that all companies maintain a detailed record of employee remuneration, broken down by gender. Its main purpose is to ensure there are no wage disparities based on gender. This regulation, in effect since 2019, applies to both large corporations and small and medium-sized enterprises (SMEs) and is mandatory for companies with more than 50 employees.
Who else is required to prepare a Pay Register?
All companies, regardless of size, must include information about executive staff and senior management in their pay register. This requirement also applies to the workforce serving public administrations, as established by Royal Decree 902/2020, dated October 13, on equal pay between men and women. There are no exceptions: even companies with a workforce comprised entirely of men or entirely of women must maintain a pay register.
What information must the Pay Register include?
The pay register must present the average values of salaries and salary supplements received by the workforce over a specific period. These data must be broken down by gender, professional categories, levels, roles, or any other applicable classification system. Importantly, the pay register does not include individually received compensation for each employee.
In companies with 50 or more employees, if the average remuneration of one gender exceeds that of the other by 25% or more, the register must include a justification explaining that the difference is unrelated to gender.
The importance of complying with the Pay Register
Complying with the pay register is not only a legal obligation but also a key tool for fostering trust and transparency in the workplace. Ensuring pay equity helps prevent labor disputes and promotes a fairer, more equitable working environment.
Additionally, keeping the register up-to-date helps avoid penalties from the Labor Inspectorate, which conducts salary audits to ensure compliance with laws and respect for principles of equality and non-discrimination.
How can we help you?
At Vosel, we understand that managing the pay register can be challenging, particularly given the complexity of the data it requires and the need to adhere to current regulations. That’s why we offer a comprehensive service designed to ensure your company meets all legal requirements, tailored to your specific needs.