A game-changer for top employers:
Quick guide to the EU Pay Transparency Directive
Despite the 2026 deadline mandating all EU member states to meet pay transparency requirements, employers with EU operations should prepare immediately, understanding new
obligations, ensuring compliance to avoid potential legal risks, and establishing trust among their workforce.
As employees increasingly prioritize holistic well-being and family over the traditional 'rat race' mentality, they seek a more personalized employee experience and enhanced
compensation. How are you strategically aligning your compensation practices to address the evolving needs and expectations of today's workforce?
Are you familiar with the employer duties and employee rights outlined in the Directive?
Despite potential variations among countries, employers with an EU presence should prepare to address the following core areas to ensure fair pay.
Pay structure
Classify similar types of jobs and compare their pay
Transparency
Employers must disclose pay details to individuals
Use surveys, personalized and innovative approaches
Gender pay gap reporting
Report the gender pay gap and make it public
Employee rights
Employees can request and discuss pay details freely
Advance employee growth; prioritize wellness
Enforcement
Employees may win equal pay claims more easily
Pay equity
Employers must rectify the gender pay gap if >5%
Analyze and close pay gaps with software
An HR and reward leaders' manual:
Quick guide to the EU Pay Transparency Directive
