The Spanish government has proposed a law to mandate gender quotas in elected government bodies and on the boards of large companies.

Under Socialist Prime Minister Pedro Sanchez, Spain has passed a series of laws focusing on sexual minorities and women, including a recent measure to allow easier gender transition.

The Spanish First Deputy Prime Minister, Nadia Calviño, said that “listed companies must ensure that their boards have at least 40% of people from the underrepresented sex, before July 1, 2024. In senior positions, they should ensure and adapt the selection processes to also achieve this goal.”

In 2017, the Spanish Parliament became the most female parliament in Europe, with 47% of the house consisting of women, although the percentage has dropped to 42% recently.

Entities included in the proposal may face penalties if they refuse to comply.