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How can HR balance pay transparency with employee privacy?
Transparency doesn’t mean revealing everything. The Directive is designed to make pay systems fairer and clearer — not to expose individual salaries.
How can companies address pay gaps without disrupting internal morale?
Pay transparency shines a light on gaps that may have gone unnoticed before. Correcting those gaps isn’t just about adjusting numbers - it’s about how you plan, communicate, and support the process.
Can we still negotiate individual salaries under the pay transparency rules?
The short answer is yes - the Directive doesn’t ban individual salary negotiations. Employers can still adjust offers based on skills, experience, or market demand.
What’s the minimum sample size for pay gap reporting, and what if we don’t meet it?
The general principle is clear: avoid reporting on groups so small that individual employees could be identified.
What is a “category of workers,” and how should we define it for reporting?
To report meaningfully on pay gaps, employers need to group employees into “categories of workers” - clusters of roles that can fairly be compared.
What does “equal work of equal value” mean, and how do we define it?
The Directive goes beyond equal pay for the same job. It also requires employers to ensure equal pay for different jobs that are of equal value.
How should companies calculate gender pay gaps?
The Directive requires employers to report on both unadjusted and adjusted gender pay gaps. These two figures tell different but equally important stories
What counts as “pay” under the EU Directive?
The Directive takes a broad view of pay. Base salary is only one part of the picture — employers must also include bonuses, allowances and non-cash benefits
Which employees are included in the scope of the Pay Transparency Directive?
The Directive applies broadly - not just to full-time staff, but to almost anyone with an employment relationship.
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What is pay transparency, and what does it require under the EU Directive?
The EU Pay Transparency Directive is a new law designed to make pay across Europe more transparent, consistent, and fair.