EU Said to Loosen Female Quota Proposal

In an effort to gain support, potential sanctions would be eased on proposal on women directors.

A European Union proposal that 40 percent of company supervisory boards be made up of women will be amended to ease potential sanctions in an effort to win over EU officials, a person familiar with the matter said.

EU Justice Commissioner Viviane Reding will make minor changes to allow governments more flexibility on penalties against companies that don’t meet the target by 2020, said the person, who declined to be identified because the matter is private. Under the draft rules, companies would also have to explain selection procedures if challenged by unsuccessful candidates who claim they were discriminated against.

Set Quotas

Norway, which isn’t part of the EU, set a quota in 2003 for at least 40 percent of corporate board seats to be filled by women.

Page 1 of 2

Copyright 2016 Bloomberg. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.


Advertisement. Closing in 15 seconds.