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Currently, there is a large gap between the proportion of employed and well-educated women and those sitting on the boards of EU companies. This gap should be significantly diminished because it is mandated by the EU fundamental right of equality between women and men (Article 23 of the EU Charter of Fundamental Rights), and by the need for democratic legitimisation of the EU and of its economic governance (Articles 2 and 3(3) TEU). However, the Commission's proposal for a directive on improving the gender balance among non-executive directors of companies listed on stock exchanges does not constitute an appropriate legal solution for this problem because it infringes the principles of proportionality and subsidiarity. There are many other instruments than compulsory gender quotas that can be used by EU institutions to promote more gender-balanced boards of EU companies. The potential of such measures has not been utilised yet in full.
