Easily comply with the new EU Pay Transparency Directive

For companies in the European Union, the principle of pay transparency is no longer a recommendation - it’s a legal requirement. With gradar, your organisation can combine bias-free job evaluation and detailed compensation analysis to comply with new EU regulations through fair and transparent rewards structures.

  • Meet emerging pay transparency laws in your country
  • Implement an objective, EU-approved job grading system
  • View your adjusted gender pay gap and salary distribution
  • Protect your organisation from potential equal pay claims

our clients

300+ organizations trust gradar to drive performance and engagement.

  • Egger
  • DPD
  • Open-Xchange
  • Damm
  • DB
  • Vulcan Energy
  • europcar
  • nepworldwide

What is the new EU Pay Transparency Directive?

In January 2023, the European Commission’s proposal to introduce binding pay transparency measures was approved by the Committee on Women’s Rights and Gender Equality (FEMM) and the EU Committee and Employment and Social Affairs.

The fundamental aim of this directive is to establish EU-wide minimum standards on pay transparency measures so that workers can assert their right to equal pay and squash the EU’s enduring gender pay gap.

Under the pay transparency directive, EU companies will be required by national law to share information about how much they pay women and men for work of equal value - and take action if their gender pay gap exceeds 5%.

Are you prepared to meet these requirements? 👇

Go on, be honest!

Obligatory Objective Measuring

Employers will need to have an objective method of comparing the value of work. This can include criteria such as educational requirements and responsibility. Importantly, comparators do not have to work for the same company and collective bargaining agreements can be used.

Pay Transparency for Job-Seekers

Employers will have an obligation to provide detailed information about initial pay or pay range either in job postings or before interviews. Employers asking any prospective employees about their pay history will be banned, as will the inclusion of pay secrecy confidentiality clauses.

Right to Information

Employees will have the right to request information from their employer about their pay level, broken down by gender. Employers must also be able to provide workers a description of the gender-neutral criteria used to define their pay, pay levels and pay progression in the organisation.

Public Pay Reporting

Employers will be required to publish information on their pay gap between female and male workers based on base pay and complementary and variable pay such as bonuses. This applies to companies with 250+ employees until 2028, when the threshold drops to 100+.

Gender Pay Gap Under 5%

If reports reveal a pay gap of more than 5% that cannot be justified by objective, gender-neutral criteria, companies will be required to take action in the form of a joint pay assessment carried out in cooperation with workers’ representatives. Fines will be issues for companies that don’t comply.

Justice for Victims of Pay Discrimination

Victims of gender pay discrimination can receive compensation, including back pay and bonuses. Crucially, in an equal pay claim, the burden of responsibility will fall on the employer (not the employee) to prove that there wasn’t pay discrimination. Organisations must have a clear methodology.

How can gradar keep you compliant?

By building an accessible, affordable, end-to-end job architecture system packed with progressive features, gradar wants to help all businesses comply with emerging pay transparency laws and be at the forefront of bridging the gender pay gap.

Job Evaluation

Job Matching

Pay Gap Analysis

Compensation Structuring

Bag Gear Gear

Job Evaluation

Considering professional knowledge, specific responsibilities, interpersonal skills and more, gradar provides a deeply analytical and highly objective approach to job evaluation that offers justification for non-discriminatory pay practices.


Job Matching

Our system translates your job grading results into job codes from numerous salary surveys and labour agreements - helping you to comply with the objective measuring and right to information aspects of the EU Directive.


Pay Gap Analysis

Spot discrimination before it becomes an issue! View the distribution of salaries within a grade among male and female employees, calculating a regression-based adjusted gender pay gap so you can see if you fall below the 5% threshold.


Compensation Structuring

gradar helps companies create meaningful salary bands and pay ranges so they can be fully prepared to post prospective salaries on job listings, making sure the figures are appropriate, competitive and - above all - equitable.


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Got questions?

Customer support is our top priority - and we’re always available to lend a hand! We’d be happy to arrange a call, live demo or extended evaluation period.