The European Commission calls for the full implementation of the new rules regarding salary transparency in the European Union

The deadline for transposing the Directive on pay transparency expired on June 7, and the European Commission is urging member states to transform the principle of equal pay for equal work into rules applicable at the national level. In the European Union, women earned, on average, 11.1% less per hour than men in 2024, according to Eurostat.

The European Commission is calling on member states to fully implement the Directive on pay transparency, after the deadline for transposing it into national legislation expired on June 7. The Directive aims to practically enforce the principle of equal pay for equal work or work of equal value between women and men.

Eurostat data shows that the gender pay gap remains visible in the European Union. In 2024, the gross hourly earnings of women were, on average, 11.1% lower than those of men in the EU, and the gap was 11.4% in the euro area.

In short

The deadline for transposing the Directive on pay transparency into national legislation expired on June 7.

Women in the European Union earned, on average, 11.1% less per hour than men in 2024.

The Directive introduces rules that allow workers to obtain more information about pay and obliges employers to assess their pay structures.

Eurostat shows significant differences between member states, ranging from -0.8% in Luxembourg to 18.8% in Estonia.

The European Commission has allocated over 3.8 million euros through the CERV program for pay transparency measures in member states.

The European Commission states that EU treaties enshrine the principle that equal work must be paid equally, regardless of whether it is performed by a woman or a man. The institution has conveyed, in the same context, that "equality is not just a value. It is also an economic force," arguing that states promoting gender equality are among the most competitive.

According to the Commission, nearly nine out of ten Europeans consider it unacceptable for women to be paid less than men for the same work. However, the pay gap persists due to a combination of factors, including the undervaluation of occupations traditionally held by women, gender stereotypes, educational pathways, recruitment decisions, promotions, and salary levels.

The Directive on pay transparency has been in force since 2023 and establishes a framework for applying the concept of "work of equal value." The criteria considered include skills, effort, responsibility, and working conditions, so that employers can verify whether pay differences are objectively justified.

European rules also aim to strengthen the position of workers in relation to employers. Greater pay transparency can facilitate the identification of discrimination, support claims for equal pay, and require companies to explain their pay practices more clearly.

Eurostat specifies that the indicator used is the unadjusted gender pay gap, calculated as the difference between the average gross hourly earnings of men and women, expressed as a percentage of men's earnings. The indicator provides a general picture of pay imbalances but does not isolate the effects of occupation, education, seniority, type of contract, or other individual and professional characteristics.

Differences between member states are significant. In 2024, Eurostat recorded the highest gender pay gap in Estonia, at 18.8%, while Luxembourg was the only member state where the indicator was negative, at -0.8%, meaning that, on average, women had higher gross hourly earnings than men before adjusting for individual and workplace characteristics.

The data also shows differences between sectors. In financial and insurance activities, the gender pay gap was greater than in the market economy in almost all member states for which data is available, except for Spain, and in Hungary, it reached 40.3%.

The private sector generally records larger differences than the public sector. Eurostat notes that this may be linked to the existence of transparent pay scales in many public administrations, where pay rules apply equally to women and men.

The European Commission states that it has worked with member states and stakeholders even from the proposal preparation stage. After the adoption of the directive in 2023, the institution allocated over 3.8 million euros through the Citizens, Equality, Rights and Values program for pay transparency measures and another 5 million euros through the call for promoting gender equality open until 2026.

The Directive (EU) 2023/970 aims to strengthen the application of the principle of equal pay for equal work or work of equal value through standards of pay transparency and enforcement mechanisms. Member states must transform these rules into national legislation, and their implementation will depend on the ability of authorities, companies, and workers to use the new tools in recruitment, pay, and reporting procedures.

https://2eu.brussels/ro/news-articles/comisia-europeana-cere-aplicarea-deplina-a-noilor-reguli-privind-transparenta-salariala-in-uniunea-europeana