The new EU Pay Transparency Directive 2026 will go into effect on June 7, 2026 and requires greater pay equity compliance and processes for employers operating within the EU. US-based multinationals with European operations will need to comply and this may influence broader hiring and pay practices in the United States. Gender pay gap reporting will not be required until 2027. There are seven drafts currently in discussion - developed by seven different EU countries (Sweden, Belgium, Ireland, Netherlands Poland, Finland & Lithuania) but differences between them are expected to be easily resolved.
Key Impacts of the EU Pay Transparency Directive on ...