Wage disparity based on sex is illegal in several countries such as the UK, Russia, and Rwanda. This doesn’t change the fact that women often face sex discrimination in the workplace and, in fact, do get paid less than men for the same or similar job.

In most countries, an employee who believes their pay is unfair has the legal right to take their employer to court, but in reality, the process takes a long time and is very costly for the employee who is probably already underpaid. So while the law against unequal pay exists, it does not actually empower people to go to court and demand a fair wage.

Already leading the world in gender equality for nine years, Iceland’s new law will assure women’s right to equal pay better than before. As of 2018, “it is a criminal offence for employers not to take action on unequal pay.”

Companies with over 250 employees must comply with this law by the end of the year, whereas smaller institutions are given time till the end of 2021. The employer’s punishment for not conforming to the law is a fine of ISK 50,000 (about €400) per day, and “the public shame, it is hoped, will be worse.”