EU Pay Transparency Directive: What it means for you
The EU Directive on pay transparency is scheduled to be implemented by 7 June 2026. However, the Danish government has not yet put forward a bill to this effect or announced when it will do so.
Although we therefore do not know exactly what the Danish implementation of the directive will look like, you can get an overview of what it will mean for you on this page.
Purpose of the directive: Equal pay for men and women for work of equal value
The overall purpose of the Pay Transparency Directive is to strengthen the implementation of equal pay for men and women for the same work or work of equal value. The rules of the directive will apply to both public and private employers, so regardless of the sector in which you are employed, it will affect you.
All companies, regardless of size, must be able to categorise their various positions into groups of employees who perform the same work or work of equal value.
In addition, companies must describe the objective and gender-neutral criteria and other job-related factors that form the basis for wage formation in the company.
You are entitled to an overview of salary criteria and salary information
Your workplace must provide you and your colleagues with an easily accessible description of the criteria used to determine salary levels and career development for employees. The criteria must be gender neutral.
You are also entitled to information about your individual salary level and the company's average salary levels. Salary levels must be broken down by gender and within the established categories of employees who perform the same work as you or work of the same value as yours.
Your workplace must actively inform all employees each year about their right to receive this information.
The union representatives at your workplace will be involved in salary reviews
If it turns out that there is a pay difference of more than 5 per cent between men and women within a specific category of employees in the company, and if the company cannot justify this difference on objective gender-neutral grounds, the union representatives or employee representatives must be involved in a joint pay review.
If, as an employee, you can demonstrate factual circumstances that give reason to believe that the principle of equal pay has not been complied with, it will be the employer who, in a specific legal case, has the burden of proof that any pay difference is not due to gender.
You have the right to salary information before you go to a job interview for a new job
If you are applying for a new job, you are entitled to information about the initial salary level or salary range at the new workplace.
The salary information must be based on objective, gender-neutral criteria and must relate to the specific position you are applying for. The information must be included in a published job advertisement or otherwise provided to you prior to the job interview, and you do not need to ask for the information yourself.
In addition, your potential new employer may not ask you, as an applicant, about salary conditions and salary history in your previous employment.
You are entitled to compensation if you experience discrimination
EU Member States are obliged to ensure that if you, as an employee, have been subjected to discrimination in relation to equal pay rules, you are entitled to claim and obtain compensation or reparation.
It is up to the individual EU Member States to determine the provisions for sanctions, but they must be effective, proportionate to the infringement and have a deterrent effect so that other companies do not discriminate in relation to equal pay rules.
You can find out more about pay transparency and the upcoming directive here
If you and your colleagues want to work towards pay transparency in your workplace right now, we have created a guide on how to get started: