What has happened since the EU Pay Transparency Act came into effect?

In the weeks since the EU Pay Transparency rules came into full effect, how have organisations responded to the change?

In early June, changes were made to how companies in EU member states are required to disseminate employee-relevant information. The EU Pay Transparency Directive is a policy that aims to reduce the gender pay gap, ensure fairer pay structures and create an atmosphere in which professionals and jobseekers can have open conversations about pay and other topics.

Having first been passed in 2023, countries were given three years to align themselves with the new rules and make any necessary changes. A month has gone by now since that final deadline, but what has changed?

Job search platform Mokaru analysed 1,776,876 global job listings posted between April and June, on the career sites of 48,758 employers, across more than 46 applicant tracking systems. What was discovered is that one month after the EU Pay Transparency Directive deadline, only 6.6pc of EU job ads are disclosing salary information. This is compared to nearly 40pc in the US.

Mokaru’s experts said, “If you are job hunting in Europe, you already know the ritual, read the listing, scan for the salary, find nothing, apply anyway and hope the number at the end of four interview rounds does not waste everyone’s time. Our data shows exactly how bad it is and how different it could be.”