The Gender Balance on Corporate Boards Directive came into effect on 28 December 2024, aiming for a more balanced gender representation on the boards of listed companies in the EU.
The Directive sets a target for EU large listed companies to ensure 40% of non-executive directors or 33% of all directors are female by 30 June 2026.
Progress varies across Member States: countries with binding quotas report 39.6% female board members, while those with voluntary measures see 33.8%, and those with no action just 17%. To enforce change, the Directive requires transparent selection criteria, preference for equally qualified candidates of the underrepresented sex, disclosure of qualifications, and penalties for non-compliance.
The European Commission will monitor implementation, with potential infringement proceedings for non-compliance.
The EU Commission has pointed towards the Special Eurobarometer on Gender Stereotypes which highlights that 55% of EU citizens favour actions to boost women’s leadership. To build on this, the Commission has also promised an upcoming Roadmap for Women’s Rights which will address further points relating to empowering women in the labour market and leadership positions.
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