Pay Equity Ireland

Basic Summary

Ireland introduced mandatory gender pay gap reporting through the Gender Pay Gap Information Act 2021, requiring employers with 250+ employees (phasing down to 50+) to publish annual gender pay gap statistics. The Employment Equality Acts 1998-2015 prohibit pay discrimination. Ireland must also transpose the EU Pay Transparency Directive by June 2026.

Key Legislation

Gender Pay Gap Information Act 2021

Enacted: July 13, 2021

Requires employers to calculate and publish gender pay gap information annually.

Employment Equality Acts 1998-2015

Prohibit discrimination on nine grounds, including gender, in pay and conditions of employment. Establish the right to equal pay for like work.

Gender Pay Gap Reporting

Phased Implementation by Employer Size

Reporting Year	Employer Size	First Report Due
2022	250+ employees	December 2022
2023	150-249 employees	December 2023
2024	50-149 employees	December 2024

Snapshot date: June 30 each year (or other date approved by Minister)

Reporting deadline: By December of the same year

Required Metrics

Employers must report:

1. Mean gender pay gap: Difference in average hourly pay
2. Median gender pay gap: Difference in middle value hourly pay
3. Mean bonus gap: Difference in average bonus pay
4. Median bonus gap: Difference in middle value bonus pay
5. Percentage receiving bonuses: Proportion of men vs. women
6. Pay quartiles: Distribution of men and women in four equal pay bands (Q1-Q4)
7. Part-time pay gap: Mean and median gaps for part-time workers
8. Temporary contract pay gap: Mean and median gaps for temporary workers

Publication Requirements

Where to publish:

• Employer's website (or accessible location if no website)
• Government portal: Centralized reporting system managed by Irish Human Rights and Equality Commission (IHREC)

Duration: Must remain publicly available for at least 3 years

Additional information:

• Narrative explanation of the gaps
• Actions taken or planned to eliminate or reduce gaps (encouraged but not mandatory)

Hourly Pay Definition

Includes:

• Basic pay
• Allowances (shift, travel, etc.)
• Pay for piecework
• Pay for leave
• Other monetary payments

Excludes:

• Overtime
• Redundancy payments
• Benefits in kind (unless converted to cash equivalent)

Equal Pay for Like Work

The Three Categories of "Like Work"

Under the Employment Equality Acts:

1. Same or Similar Work

Work that is the same or broadly similar in nature.

2. Work of Equal Value

Work that has been given an equal value under a job evaluation system, assessed on:

• Skill
• Physical or mental effort
• Responsibility
• Working conditions

3. Work Requiring Equivalent Qualifications and Experience

Even if the work is different, if it demands equivalent qualifications, training, and experience, it may be "like work."

Defenses to Unequal Pay

Employers can justify pay differences based on objective grounds unrelated to gender:

• Seniority
• Merit or performance (objectively measured)
• Productivity
• Quantity or quality of output
• Market forces (limited and must be objectively justified)

Red flags (not valid defenses):

• Prior salary history
• Negotiation skill alone
• Length of service without link to performance
• "Tradition" or "custom"

Enforcement and Penalties

Gender Pay Gap Reporting

Failure to report:

• Fine up to €5,000 per violation
• Ongoing daily fines for continued non-compliance
• Public naming of non-compliant employers

Equal Pay Claims

Employees can file complaints with the Workplace Relations Commission (WRC) for:

• Unequal pay for like work
• Discrimination in pay or conditions

Remedies:

• Arrears of pay: Up to 3 years back pay (can be extended in exceptional circumstances)
• Prospective equal pay: Employer must equalize pay going forward
• Compensation: Up to 2 years' remuneration for discrimination

Irish Human Rights and Equality Commission (IHREC)

• Administers gender pay gap reporting portal
• Publishes aggregated data and analysis
• Monitors compliance
• Provides guidance and resources

EU Pay Transparency Directive (2023/970)

Ireland must transpose by June 7, 2026. Expected additions:

1. Pay transparency in recruitment: Salary range in job ads or before interview
2. Pay history ban: Cannot ask applicants about current/past pay
3. Enhanced information rights: Employees can request pay data by category of workers
4. Mandatory reporting: Gender pay gap reporting (100+ employers, phased)
5. Joint pay assessment: If ≥5% unexplained gap persists, conduct assessment with employee representatives
6. Strengthened enforcement: Higher penalties, shift in burden of proof

Best Practices

Conducting Pay Gap Analysis

1. Data accuracy: Ensure HRIS has accurate employee counts, gender, pay, hours, bonuses
2. Categorization: Classify employees by full-time/part-time, temporary/permanent
3. Calculate metrics: Use approved formulas for mean, median, quartiles
4. Analyze drivers: Representation (occupational segregation), pay progression, part-time penalty
5. Develop action plan: Recruitment, flexible work, career development, pay transparency

Closing the Gap

• Set measurable targets for women in senior roles
• Review hiring and promotion processes for bias
• Ensure objective, documented pay-setting criteria
• Address part-time and temporary worker disparities
• Provide paid parental leave and flexible working

Narrative Reporting

While not mandatory, strong practice includes:

• Clear explanation of why gaps exist
• Context on workforce composition
• Specific actions and timelines
• Accountability (board/executive ownership)

Resources

• IHREC Gender Pay Gap Portal: https://www.genderpaygap.ie
• Workplace Relations Commission: https://www.workplacerelations.ie
• Citizens Information: https://www.citizensinformation.ie/en/employment/equality_in_work/equal_pay.html
• Irish Statute Book: http://www.irishstatutebook.ie
• Department of Children, Equality, Disability, Integration and Youth: https://www.gov.ie/en/organisation/department-of-children-equality-disability-integration-and-youth/

Compliance Calendar

Date	Action
June 30	Snapshot date (capture employee data)
July-November	Calculate gender pay gap metrics
By December	Publish report on website and submit to IHREC portal
Ongoing	Maintain published report for 3+ years
June 7, 2026	EU Pay Transparency Directive transposition deadline

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Disclaimer: This guide is for informational purposes only and does not constitute legal advice.