Gender balance among non-executive Directors of companies listed on the stock exchange

"The vote on the joint Report by the Committees on Women's Rights and Gender Quality and on Legal Affairs is a strong call for EU legislation to promote women's participation on the boards of major listed companies. What is currently a reality in some EU Member States will soon be extended to the Single Market as a whole and all EU-listed companies, thereby making the most of the talents of many qualified and highly-skilled women", stated Co-Rapporteur Rodi Kratsa-Tsagaropoulou MEP. In 2012, only 15% of non-executive board members in the EU's largest companies were women.

The joint Report calls for a transparent, open and meritocratic recruitment procedure which guarantees equal access to both men and women on non-executive positions on boards of EU-listed companies. EU-listed companies should aim to ensure that at least 40% of their non-executive board members are women. Listed companies would have until 2020 to reach the target while public companies should do so by 2018.

Companies will be sanctioned if they fail to comply with the obligation of implementing open and transparent procedures allowing both men and women who are equally qualified to be appointed or elected to non-executive board positions. Hence, they will be required to explain why to the competent national authorities in the Member States and describe the measures taken for future appointments.

The amended draft legislative Resolution was approved by 40 votes to 9, with 2 abstentions. The Committee negotiators received a mandate to start negotiations with EU Ministers. "This is a very satisfactory result. I remain confident for the future positive outcome of the Report, both in plenary and in the Council", she concluded.