The EU Pay Transparency Directive

Discover what the new laws mean for your organisation

Time Left To Comply

What is The EU Pay Transparency Directive?

The objective of the new legislation is to strengthen the application of equal pay for equal work across the European Union.

Organisations now need to prepare for a number of new requirements. This will mean understanding your obligations before hiring a new employee as well as during their employment term.

The Directive Will Be Effective From 2026

Organisations will then have up to a year after the date of enforcement to ensure they have everything in place. This means the latest date for organisations would be 2027.

For example, if France begins enforcing the new laws in June 2025, French organisations will have until June 2026 to comply and implement the relevant processes.

EU Directive Resource Pack

Click the button to download our full resource pack. Understand the details surrounding the EU Directive and get a feel for how much there is to do before the deadline.

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Changes In The U.S.A

We’ve seen a lot of changes take place in the US, where a number of states have brought in transparency laws, most notably, New York and California.

Pressure Around ESG

Investors want to ensure that organisations are socially responsible, sustainable and that there’s good governance in place.

Employees Want It

Employees, Generation Z in particular, are seeking transparency. Many are even deciding not to apply for jobs if there are no advertised salary ranges.

What Does This Mean For The UK?

While these changes do not directly impact UK-based organisations, many with offices across the EU have already decided that they’re not going to be treating their UK employees any differently to those in Europe.

Choosing not to adopt transparency for UK employees could cause bigger challenges when they begin to compare their experiences with colleagues in the EU.

EU pay transparency directive

Also, following the UK General Election in July, there is a chance that the government will decide to adopt some of the same rules as to not fall behind the EU.

Transparency brings a world of benefits to organisations and employees, so getting ahead of the deadline will also get you ahead of competitors.

Need Help Complying With New EU Transparency Rules?

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