There is a new law in Peru prohibiting wage discrimination on gender grounds, which came into force on Dec. 28, 2017.
On Dec. 27, 2017, Peru's new law (Law No. 30709—"Law prohibiting pay discrimination between men and women") was published in the Official Gazette, El Peruano.
The purpose of the law is to prohibit wage discrimination between men and women in equivalent or identical categories or functions. Companies must keep tables detailing employee categories and functions and companies that do not already have tables must prepare them within 180 days of Dec. 28, 2017. Employers must set employee pay in a way that does not discriminate on gender grounds.
Employers are also prohibited from dismissing or failing to renew employment contracts of pregnant or breastfeeding employees for any reason relating to their condition.
Peru's National Superintendency of Labor Inspection (SUNAFIL) and regional labor offices (Labor Authority) are responsible for supervising compliance with the new law. The potential consequences for an organization failing to comply are as follows:
- Continued discrimination may be considered a "hostile act" and employees can take legal action against the organization to bring discrimination to an end.
- An employee can also consider the hostile act as constituting an unjustified dismissal and take legal action to be indemnified for dismissal.
- The Labor Authority can undertake an investigation and if the organization is found to have committed a hostile act by providing disparate remuneration on the grounds of gender, it can be liable for a fine of between 5 and 1000 UIT, depending on the number of employees affected by the hostile act. (Note that the tax reference units, the UIT for this year, are PEN 4,150.00).
In a related development, Peru's existing anti-discrimination Law No. 26772 was amended and extended to clarify that offers of employment and access to training must not be made subject to any requirements that constitute discrimination, or which are contrary to the principles of equal opportunities and equal treatment.
Although the new law is perceived as novel, this is not the first legislative step towards equal pay for equal work in Peru: Article 30 of Supreme Decree No. 003-97-TR (1997) already identified wage discrimination on gender grounds as a hostile act for employment law purposes. However, Law No. 30709 was enacted in order to strengthen the protection of employees and clarify the scope of the anti-discrimination rules. And the signs are that it has been positively received.
José Antonio Valdez and Lucianna Polar are attorneys with Estudio Olaechea in Lima, Peru. © 2018 Estudio Olaechea. All rights reserved. Reposted with permission of Lexology.
Was this resource helpful?
Validate your HR expertise
Earning your SHRM-CP credential makes you a recognized expert and leader in the HR field.
Related Content
Learn how Marsh McLennan successfully boosts staff well-being with digital tools, improving productivity and work satisfaction for more than 20,000 employees.
The proliferation of artificial intelligence in the workplace, and the ensuing expected increase in productivity and efficiency, could help usher in the four-day workweek, some experts predict.
As artificial intelligence technology continues to develop, the demand for workers with the ability to work alongside and manage AI systems will increase. This means that workers who are not able to adapt and learn these new skills will be left behind in the job market.