Find out how Acerta Consult can support you
Our experts are ready to inform, advise and support you.
EN
A year ago, the European directive on pay transparency was published. But just how transparent are we by now, what can still be improved and how can we jointly work towards a fair pay policy?
In May 2023, the European Council adopted new rules around pay transparency. These rules are set to enter into force within two years. This European directive requires companies in the European Union to disclose their payroll information.
The purpose? To combat wage discrimination and to close the gender pay gap. The directive also sets out provisions on compensation for victims of wage discrimination and penalties, including fines, for employers who break the rules.
The road to the uniform implementation of the directive starts on the shop floor. How openly do we actually communicate about pay at work? According to our latest survey figures, six in 10 companies clearly communicate to their employees how much they will earn in a particular job.
Pay is also a hot topic among colleagues: six in 10 employees know how much their colleagues earn.
The new directive requires companies to report on exactly how transparent they are about the criteria that determine salaries and wage increases. Obviously this requires employers to be duly informed about this. So it pays to talk about pay. Not just because it is being imposed by a higher authority, but also to strengthen the relationship between the company and its employees. An added strong suit in a tight labour market.
This not only ensures pay transparency within the company but also within the industry or between similar companies. A company that already pays competitive salaries will now find it easier to compete with companies that do pay apply market-compliant wages.
Employers are often unaware of possible wage discrimination. Unintentionally, a bias appears to exist within the company. With the new directive, increased pay transparency raises awareness among employers and helps them detect and rectify such discriminations more quickly.
If you mean to be transparent about remuneration, you need to have a clear pay policy in place, which your employees should know about. Make sure people know what they need to do to earn their salary or qualify to get a pay rise. As a company, how do you embark on this exercise?
With a well-thought-out pay policy, you improve your employees’ commitment and satisfaction. Which is a win-win situation as that is how you keep your talented workers on board.
Our experts are ready to inform, advise and support you.
How to best organise the (summer) holidays?
The summer holidays are just around the corner, which means employees’ time schedules need to be aligned. What is the best way to go about this as an employer? Which types of absence from work can employees take?
Read moreElections are coming up: what remains to be decided?
In the run-up to the elections on 9 June 2024, there are still some labour issues to be completed and consequently some decisions that remain to be taken. What is the impact on you as an employer?
Read moreWhat will change for employers in April 2024?
Legislation is changing at a rapid pace and, as an employer, it is important to keep pace and know what changes may impact your organisation. We list all the most important changes for April 2024.
Read more
