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EU Introduces Stricter Rules on Equal Pay

The European Union has introduced new regulations aimed at eliminating gender pay gaps in the workplace. The rules, which come into effect in 2026, will require employers with over 100 employees to conduct regular pay reviews and ensure that salaries are fair and non-discriminatory.

New Obligations for Employers

  • Conduct a pay review if there is a gender pay gap of at least 5% that cannot be justified by objective, gender-neutral criteria.
  • Provide job applicants with information on starting salaries and disclose salary ranges.
  • No longer ask about an applicant’s salary history during the hiring process.

Employee Rights

  • Request information on their individual pay levels and the average pay level for their gender.
  • Claim full compensation if their rights are violated.

Application of the Rules

The new rules apply not only to employers in the EU but also to economic operators performing public contracts or concessions, including subcontracting chains.

What You Can Do Today

While the regulations come into effect in 2026, it’s recommended that employers take steps now to prepare. Here are some recommendations:

  • Review your job structure and remuneration system to ensure they are fair and transparent.
  • Conduct a pay equity analysis to identify any gender pay gaps and take corrective action where necessary.
  • Use gender-neutral tools and benchmarks to compare pay levels, including gender-neutral job evaluation and classification systems.
  • Review internal Diversity, Equity, and Inclusion guidelines and policies to ensure they are fair and equitable.
  • Provide training for managers and HR staff on the new regulations.

Contact

For further information or advice on how to comply with the new regulations, please contact JUDr. Silvia Nipčová, LL.M., Associate Partner at Rödl & Partner Slovakia.

Source

Rödl & Partner Newsletter - “EU Introduces Stricter Rules on Equal Pay”