Employers must clearly communicate the criteria for setting salaries and bonuses, according to the new European directive that comes into effect in 2026.

The 2023/970 Directive of the European Union requires employers to provide information about the criteria for setting salaries and to report salary differences between genders. Employees can request statistical data about average salaries without disclosing individual salaries. Companies will need to implement clear performance evaluation processes and adopt modern tools to comply with the new regulations, avoiding reputational and legal risks.