Entered into force on June 7, 2023, the European Pay
Transparency Directive aims to further close the gender pay gap
that still exists in Europe and increase transparency about pay. By
way of illustration, in 2024, women in Europe still earned, on
average, 6% less than their male counterparts for equal work.
Obligations
The Directive contains reporting obligations for employers with
more than 100 employees on the average pay, including the average
variable pay, of male and female employees.
Employers with 250 employees or more must comply with the
reporting obligation every year starting from June 2027. Employers
with 150-249 employees must also report from June 2027, followed by
a report every three years. Employers with 100-149 employees must
report from June 2031, followed by a report every three years.
