Today: Monday, 18 January 2021 year

Germany: large companies ordered to include women on executive boards

Germany: large companies ordered to include women on executive boards

Germany’s justice minister Christine Lambrecht has announced that the large corporations were ordered to «take advantage of the opportunity presented by highly qualified women». As The Local Germany has learned, a new law will optimize the gender balance on the working places.

Germany’s coalition government on Wednesday has approved the draft historical document that will close a gender gap. At last, the MPs listed companies must include women on their executive boards as part of a landmark bill.

Listed companies with four executives or more must appoint at least one woman to their boards. Commenting on the bill, Christine Lambrecht said it is sending «a very strong signal» to corporations, which used to neglect the opportunity presented by highly qualified women.

Family Affairs Minister Franziska Giffey echoed her colleague’s opinion, saying that Germany is on the way to becoming a modern society fit for the future. despite the efforts to optimize the gender balance in business, Europe’s top economy fares relatively poorly in terms of representation of women in senior positions.

By comparison, women take up 28.6 percent of top roles in the United States, 24.5 percent in the UK, 22.2 percent in France, and just 12.8 percent in Germany.

Additionally, the companies in which the government holds a majority stake will have stricter rules. At least one woman on management boards with more than two members.