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ARTICLE · 31 AUGUST 2023

Pay Transparency Directive FAQs

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The Pay Transparency Directive will create new gender pay gap reporting obligations throughout the EU.

European UnionEmployment and HR
Tom Heys (Lewis Silkin)
Tom Heys (Lewis Silkin)
Siobhra Rush (Lewis Silkin Ireland )
Siobhra Rush (Lewis Silkin Ireland )

The Pay Transparency Directive will create new gender pay gap reporting obligations throughout the EU. In this article, we answer some frequently asked questions about this new legislation.

What is the Pay Transparency Directive?

The Pay Transparency Directive will require employers throughout the EU to either implement gender pay gap reporting for the first time or, in countries where it already exists, broaden the scope of the requirements. Employers will need to report the gender pay gap:

  • Across the company as a whole.
  • Within each category of workers who do the same work or work of equal value.

The Pay Transparency Directive also creates a number of individual rights to pay transparency. It requires employers to advertise the salary range for each job vacancy and to stop asking job applicants about their current and past pay. All workers will have a new right to request information about what others doing comparable jobs are paid, on average,

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