Pay Transparency Directive (EU) 2023/970

With the aim of strengthening the principle of equal pay for equal work between men and women, the EU Council and European Parliament adopted, on 10 May 2023, the EU Pay Transparency Directive 2023/970 (the "Directive") which must be transposed into national law by 7th June 2026.

Employee's Right to Information & Transparency of Pay

The Directive gives employees and prospective employees a number of individual pay transparency rights. For example, it establishes employees' right to request and receive in writing information relating to the average pay levels and the criteria that are used to determine workers' pay, pay levels and pay progression which shall be objective and gender neutral. Employers shall inform all workers, on an annual basis, of their right to receive this information.