EU pay transparency progress: A year of action and growth

A year has passed since Catalyst’s pay transparency roundtable in April 2024. At the time, organisations were making strides in implementing more frequent pay equity audits, aligning systems, and preparing for the EU Pay Transparency Directive, set to take effect in 2026. The EU Directive mandates that employers carry out comprehensive evaluations of compensation packages — including base salaries, bonuses, and other incentive payments — alongside public disclosure of findings, job applicant salary transparency, and various enforcement measures. Now, with less than a year left before it becomes law, many companies are under pressure to make final adjustments to comply.