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Wednesday, 5 September 2012

EU planning to weigh in on women in boardroom roles?

Companies across Europe may soon be required by law to have women appointed in at least 40 per cent of seats on supervisory boards.

A European Union (EU) proposal set to be published next month will outline plans for the quota to be put in place by 2020.

Bloomsberg reported that a person familiar with the proposal has detailed that the law would be applied to all listed companies which have more that 250 employees and annual sales of over €50 million (£39.5 million).

Firms which fail to comply with the proposed rules would face such sanctions as being excluded from government tenders, facing a ban on public subsidies and being slapped with substantial fines.

The individual, who did not wish to be named as the plan was not yet made public, added that state-owned companies will be required to introduce the quotas by 2018, in order to set an example.

According to a European Commission report published in March, 13.7 per cent of board seats in the EU are currently occupied by women.

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Posted by Richard Esquilant
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Hat Tip To: Salespeak News

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