On 7 June 2026, the European directive on pay transparency will come into force, requiring companies of all sizes to rethink their remuneration policies.
To mark the occasion, Julien Craeynest and Xavier Meulemans are hosting a web series dedicated to this topic, sharing their practical advice on how to effectively anticipate these new regulations.
This first webinar in the series laid the foundations for strategic thinking on equal pay, transparency and the transformation of HR practices. The following article summarises the main lessons learned, enriched by the answers to participants' questions.
The European Pay Transparency Directive, which will come into force in June 2026, requires companies of all sizes to review their remuneration practices. It aims to ensure gender pay equality and strengthen trust within organisations.
One of the key points of this directive is the reversal of the burden of proof. From now on, it is up to the company to justify pay differences between positions of equal value, based on objective and non-discriminatory criteria.
Recruitment practices will also have to change. It will be prohibited to ask candidates about their salary history, and companies will have to disclose a salary range at the outset of the process.
Our experts recommend not waiting for the implementing decrees to come into force before ensuring compliance. Key steps include analysing current practices, implementing a system for analytical job evaluation and clearly formalising the salary policy.
Beyond compliance, this directive is an opportunity to strengthen social dialogue and reposition wage policy as a strategic lever. It is essential to involve managers and employees in understanding the criteria for remuneration.
The European directive on salary transparency should not be seen as a constraint, but as an opportunity to build trust, improve HR practices and promote fairness within organisations.
Julien Craeynest is an HR consultant at Arago, specialising in HRIS and Comp & Ben issues. His technical and organisational expertise enables him to support companies in ensuring compliance and optimising their remuneration practices.
Xavier Meulemans is an independent consultant and former Director of Compensation & Benefits and HRIS at international groups. His in-depth knowledge of the strategic and operational challenges associated with salary transparency enables him to decipher its concrete impact on HR policies and social dialogue.
No, it applies to both the private and public sectors in the 27 countries of the European Union.
Yes, seniority is recognised as an objective criterion in the analysis of pay gaps.
Even in small organisations, it is possible to group together positions of equal value according to objective criteria such as level of qualification, expertise or responsibility, regardless of job titles.
No. The directive requires a company-specific analytical job evaluation system, in addition to the collective agreement.
Risks include individual or collective litigation, financial penalties, loss of employee confidence, and difficulties in recruiting or retaining talent.
Not necessarily. It requires transparency and justification for any discrepancies. Companies can choose between targeted or general increases based on their internal assessment.
Conducting an analysis of remuneration and pay gaps will be a necessary step. This is essential but not sufficient: the company will also have to comply with the other obligations inherent in the directive (duty to provide information, etc.).
Yes, seniority is an objective criterion.
This is where the value of a job weighting methodology lies: it allows us to look beyond job titles and focus on the impact of these positions on the organisation, using weighted objective criteria. It would be incorrect under the directive to consider two positions to be of equal value simply because they both have the title of director.
One possible solution is to address labour shortages in certain professions by using ad hoc pay scales (e.g. a specific scale for IT positions with a median salary 10% higher than the median salary on the general scale).
Very good point, unfortunately we will have to wait for transposition into national law and implementing decrees, as the directive is not specific on this point.
