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EU’s von der Leyen in new push for women’s quota on company boards -Breaking

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© Reuters. FILEPHOTO: Ursula von der Leyen is the President of European Commission after meeting with her at Paris’ Elysee Palace, Paris, France on January 7, 2022. Michel Euler/Pool via REUTERS/File Photo

(Reuters) – Ursula von der Leyen, President of the European Commission will push for increased representation of women on boards. She is trying to get rid off legislation that would have created a women’s quota.

Von der Leyen said Wednesday that “it’s time for us to take this matter forward,” she is the first woman in charge of the Brussels-based EU executive.

“It’s been sitting on the shelf for 10 years now, but in these 10 years there has been a lot of movement and learning.”

Von der Leyen stated that there is “overwhelming evidence” that boards with diversity are more productive and that introducing legal requirements has accelerated progress toward gender-balanced representation.

However, previous EU gender equality initiatives have been blocked, such as a 2012 legal proposal that required listed companies to be able to fill 40% of the non-executive boards.

Some EU states, such as Germany, refused to make this law.

Von der Leyen stated to the FT that she was willing to collaborate with France in pushing for the directive’s approval during Paris’s six-month-long tenure as the EU’s rotating president. She also said that Berlin is likely to drop its opposition to the proposal now that a new government is formed.

The directive should be settled by EU legislators in the first six months of 2019. If not, a deal can “definitely” take place in 2022.

According to the Financial Times, the directive doesn’t include sanctions and leaves these up to member countries. It will also not apply to unlisted small- and medium-sized companies.

France has the highest percentage of women in boardrooms at the largest listed companies, with 45%, compared to a mere 30% for the EU.

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