Work of equal value and job evaluation.
Simona BernatavičiūtėFounder · Compensation and pay equity consultant
5 min read
Equal pay for equal work is easy to check: same job, same pay. Equal pay for work of equal value is harder, because it asks you to compare different jobs. The EU Pay Transparency Directive makes that comparison the basis of pay reporting: categories of workers are groups doing the same work or work of equal value. This guide explains how to decide which jobs are of equal value, and how to do it without building old biases back in. It is the foundation of any credible gender pay gap analysis.
What the Directive requires
The principle of equal pay for equal work or work of equal value has been in the EU Treaties for decades. What the Directive adds is the structure to check it. Article 4(1) requires employers to have pay structures that ensure equal pay for equal work or work of equal value, and Article 4(4) sets out how the value of work is assessed:
They shall include skills, effort, responsibility and working conditions, and, if appropriate, any other factors which are relevant to the specific job or position. They shall be applied in an objective gender-neutral manner, excluding any direct or indirect discrimination based on sex. In particular, relevant soft skills shall not be undervalued.
The same paragraph says the criteria are agreed with workers’ representatives where such representatives exist. Article 3(1)(g) then defines work of equal value as work found to be of equal value under those criteria.
Why job titles are not enough
Titles describe how an organisation labels work, not what the work demands. Two different titles can carry the same demands, and one title can hide very different ones. Grouping by title also tends to reproduce the existing pay structure, including whatever bias it already contains. If women are concentrated in roles that were historically valued low, a title-based comparison never sets those roles next to the male-dominated roles of equal value.
How job evaluation works
Job evaluation assesses the demands of each role against the same set of factors, so that different roles can be compared. Analytical methods break each factor into subfactors, rate every role on each subfactor, and add the ratings into a total score. Roles with similar totals form a grade, and each grade is a category of workers.
- Agree the factors and subfactors, with workers’ representatives where they exist.
- Describe each role as it is done, not as the title suggests.
- Rate every role on every subfactor, recording why each rating was given.
- Weight and add the ratings into a total score.
- Group roles into grades by score.
- Compare pay within each grade, and check the results for bias.
The method matters less than its consistency: the same factors, the same scale and the same rules for every role, with each decision written down.
The four factors in practice
| Factor | Typically covers |
|---|---|
| Skills | Knowledge, qualifications and experience the job needs; communication and interpersonal skills |
| Effort | Physical, mental and emotional effort, and how sustained it is |
| Responsibility | For people, for finances and resources, for outcomes and for the wellbeing of others |
| Working conditions | Physical environment and hazards, and also psychological conditions such as dealing with distress or conflict |
Where bias gets in
The Directive singles out soft skills for a reason. Evaluation schemes have often been built around the demands of male-dominated jobs, and the demands of female-dominated jobs go unseen. Watch for these patterns:
- Physical effort scored, emotional effort ignored.
- Responsibility for money and equipment scored higher than responsibility for people’s care or wellbeing.
- Working conditions limited to noise, dirt and danger, leaving out exposure to distress, aggression or constant interruption.
- Communication and coordination skills treated as personality traits rather than job requirements.
- Subfactors that double-count the same demand, which over-rewards the jobs that have it.
- Ratings made from job titles or from the current holder rather than from the work.
A useful test: after the evaluation, look at the grades by sex. If female-dominated roles cluster at the bottom, examine which subfactors put them there before you accept the result.
How we do it
We evaluate each role on the four factors of the European Institute for Gender Equality’s framework, split into fourteen subfactors. HR answers a structured questionnaire for each role, and rules turn the answers into subfactor levels, each with a written reason. AI may suggest raising a level, and only by quoting the answer that supports it. HR confirms every result.
The total score sets the role’s grade, and the grade is the category of workers the pay gap analysis compares. The weights are configuration, versioned with the methodology, not hidden in the code. Read the methodology for the factor definitions, or see how grades feed into a joint pay assessment.
Frequently asked questions
What is work of equal value?
Work that is found to be of equal value when assessed on objective, gender-neutral criteria. Under Article 4(4) of the Directive those criteria include skills, effort, responsibility and working conditions. The jobs can be completely different; what is compared is the value of the work.
Do we need a formal job evaluation system?
You need a way to group workers who do the same work or work of equal value, based on objective, gender-neutral criteria, and to show how you did it. A structured job evaluation is the most defensible way. If a joint pay assessment becomes necessary, Article 10(4) requires an analysis of your job evaluation system, or the creation of one.
Can we compare jobs in different departments?
Yes, and you should. Work of equal value is not limited to one department or one job family. Comparing across them is exactly what reveals gaps between female-dominated and male-dominated roles.
This guide explains Directive (EU) 2023/970 in general terms and is not legal advice. The national law that transposes the Directive in your country can add to it, so check the rules where you employ people.
More guides
- How to do a gender pay gap analysisThe work in the order you will do it: scope, data, categories of workers, the seven Article 9 indicators, and sign-off.
- Adjusted vs unadjusted gender pay gapWhich gap the Directive asks you to report, what the adjusted gap adds, and a worked example where the two differ by more than 25 points.
- Joint pay assessment and the 5% ruleThe three conditions in Article 10, what the assessment must contain, the six-month window, and how to prepare.