21 May 2025

How to prepare a group of companies for new responsibilities?

In addition to pay transparency mechanisms, the directive also introduces a number of facilitations, including procedural ones, so that unequally paid employees will be able to pursue their claims more efficiently.

One such facilitation is the so-called single-source principle. In practice, it essentially means, that an employee, maintaining in court proceedings that there has been a breach of the principle of equal treatment in remuneration against him, will be able to compare himself not only to higher-earning employees of the opposite sex employed by the same organisation, but also by another one, if a common "head office" determines the conditions of remuneration at both entities.

The single-source principle will be of significant importance especially for complex organisational structures consisting of a larger number of employers, such as groups of companies, holding companies, conglomerates or concerns, in which remuneration policies in individual units are decided top-down. In such organisations, therefore, the process of valuing jobs and building remuneration structures is best carried out in a coordinated and comprehensive manner, to avoid the risk of unevenly shaping the salaries of people carrying out comparable work in individual units or workplaces.