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EU PAY TRANSPARENCY DIRECTIVE

What HR teams need to do now

The directive is reshaping how organisations think about pay.
Here's what teams need to know – and do – right now.

What's changing, what's confirmed, and where to start

THE DIRECTIVE & WHAT IT REQUIRES

From 7 June 2026, stricter pay transparency rules apply across the EU.

For HR, this means:

  • Salary ranges must be included in every job posting — asking about pay history is prohibited.

  • Employees can request average pay data for comparable roles, broken down by gender.

  • Companies must report regularly on their gender pay gap — including robust documentation.


Find more details in our in-depth blog article on the directive.

"Equal work deserves equal pay. And equal pay requires transparency. Women must be able to know whether their employers are treating them fairly."

Ursula von der Leyen|President of the European Commission

Ursula von der Leyen

5%

unresolved pay gap?

If reporting reveals a gap of 5% or more that cannot be objectively justified, corrective action is mandatory.

PAY ACCOUNTABILITY

Pay transparency puts your compensation logic to the test — preparation makes all the difference.


Five areas are critical:

  1. Job levels and role families

  2. Salary bands

  3. Objective criteria (e.g. responsibility, skills, market data)

  4. Reliable data including documentation and an audit trail

  5. Clear ownership across HR, managers, Legal, and Finance


This is how perceived fairness becomes a transparent, defensible system for pay accountability.

Pay transparency done right – here's how to get there

PRACTICAL GUIDANCE FOR HR PROFESSIONALS

   

Your Compliance
Guide for HR

Find out exactly what obligations apply to your organisation — and how to build fair, defensible pay structures.
This guide gives you a concise overview of requirements, deadlines, and actionable recommendations for HR.

EU Pay Transparency Directive Hub Asset 1

PRACTICAL PREPARATION

   

Checklist for HR teams

The EU Pay Transparency Directive still raises a lot of questions. This compact checklist cuts through the complexity — giving you a clear overview of the key requirements and a structured starting point for your next steps.

EU Pay Transparency Directive Hub Asset 2

Pay transparency starts with the right HR platform

Bring compensation, decision documentation, roles & permissions, and exports into one place — so your reporting is consistent and traceable.

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Job Architecture

Job
Architecture

Keep salary ranges consistent and explainable across your organisation by linking job families and career levels to pay groups.

Access & Permissions

Access &
Permissions

Protect sensitive pay data while keeping things moving. Restrict visibility and clarify responsibilities so the right people can act without unnecessary exposure.

Pay Decision Log

Pay Decision
Log

Always be ready to explain your pay decisions. Store documentation and maintain a clear evidence trail so you can demonstrate the reasoning behind every decision.

Salary History

Salary
History

Stay prepared for employee queries, internal alignment, and audits. Document salary changes over time and maintain a transparent pay history in one place.

Gender Pay Gap Reporting

Gender Pay
Gap Reporting

Get the insights you need for pay analysis and reporting. Centralise pay-relevant HR data, filter by job group and other criteria, and export exactly what you need.

Compliance Records

Compliance
Records

Stay audit-ready at all times. Keep exports, policies, approvals, and communications organised in one structured compliance folder.

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Personio complies with the essential requirements of the EU GDPR, ensuring data protection is by-design and always-on across Personio’s application, infrastructure, and organisation.

Personio helps us spend a minimum amount of time on rules and compliance, so we can spend time on things that matter and give us high value as a team.

Anna Gullstrand

Anna Gullstrand

Chief People & Culture Officer, Mentimeter

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Find out how Personio can support you with pay transparency compliance