On January 3, 2018, Iceland took action to make it illegal to pay a woman less than a man if they have the same job. The country has had equal pay laws since 1961, but this is the first time Iceland has ever taken steps to completely eliminate the pay gap.

Although discrimination between men and women is illegal in most countries, it still happens all the time. According to The New York Times, women are still severely underpaid, compared their male counterparts even if they have the exact same job. Paying someone less based on their gender is not only discrimination, but it is also illegal. In America, the average woman makes $0.78, while the average man makes $1.00 an hour. This discrimination happens all around the world, but Iceland is the first country to take action to stop this illegal act.

“Of course it has always been illegal to unequally pay men and women,” Frida Ros Valdimarsdottir, the chairwoman of the Icelandic Women’s Rights Association, “But this is a legally binding tool kit.”

According to Al Jazeera News, if a company with more than 25 employees under pays women, that company will have to pay a fine starting at $500 a day. That being said, everyone does not have to have the same exact salary. If a man is in a higher position than a woman, he will get paid more, and vice versa.

“Employers still have the option of rewarding their workers based on experience, performance and other aspects,” said Ivana Kottasová, reporter for CNN Money, “However, the companies must show that the differences in wages are not due to gender.”

According to CNN Money, with the current actions being taken, Iceland hopes to close their pay gap by 2022. Iceland has closed 10% of the pay gap since 2006, proving that having equal pay will help the overall economy. Iceland has one of the top economies in the world because they are trying to close the pay gap.

According to The Global Gender Gap Report, in order for the entire world to have equal pay, it will take 100-200 years to close the pay gap. This is because of countries like Yemen, Pakistan, Syria, Saudi Arabia, and Chad. These countries are so low on the list, because education, national pride, economies, politics, and health all come into factor the wages.

“With the economic and business case for gender parity becoming ever clearer,” Global Gender Gap Report 2017, “There is an urgent need for reliable metrics to capture the progress achieved over time.”

Iceland and other countries hope this legal action will show light on the effects of equal pay on the economy, national pride, overall health, and education. When a woman feels empowered, she will have a higher chance or showing up to work and closing this pay gap. The steps to closing this pay gap, is providing education for young girls in poor countries and making sure women are healthy.

“Women have been talking about this for decades and I really feel that we have managed to raise awareness,” said Aradottir Pind, “And we have managed to get to the point that people realize that the legislation we have had in place is not working, and we need to do something more”.

With the steps being taken in Iceland, other countries should soon follow in their footsteps. If women are happy and healthy, this pay gap can close faster than the rate expected.