Understanding the EU Pay Transparency Directive - Compliance and business impact

Over the past decade, the focus on environmental issues has grown exponentially, resulting in various global commitments initiatives aimed at transforming current institutional, economic, and financial models.

The EU Pay Transparency Directive, adopted in June 2023, introduces strict pay transparency reporting requirements for companies operating within the European Union. Businesses will need to comply with new obligations on pay reporting, disclosure to employees, and gender pay gap assessments by June 7, 2026.

Beyond compliance, pay transparency is a competitive advantage, improving employer bring, talent attraction, and workforce trust.

This training will help organisations understand the regulatory requirements, assess potential risks, and implement strategies to align with the directive while driving fair pay practices.

By the end of this training, participants will

• understand the EU Pay Transparency Directive’s key requirements and compliance deadlines;
• learn about pay reporting obligations, salary disclosure rules, and equal pay assessments;
• explore the financial, legal, and reputational risks of non-compliance;
• gain insights into pay equity strategies and internal compliance measures;
• identify best practices for managing employee expectations and external communication.

• Introduction to the EU Pay Transparency Directive
  • What is the EU Pay Transparency Directive, and why was it introduced?
  • The link between equal pay principles and gender equality in the workplace
  • Timeline and deadlines for compliance across the EU
  • How this directive aligns with other HR ESG reporting obligations (CSRD, DEI initiatives, etc.)
• Key regulatory requirements and compliance obligations
  • Salary transparency in job postings
  • Employee right to request pay information
  • Pay gap reporting obligations:
  • Joint pay assessment requirement
  • Prohibition of salary history inquiries
• Legal risks and business impact of non-compliance
  • Financial penalties
  • Reputational risks
  • Increased litigation risks
  • Investor and regulatory pressure
• Next steps for businesses
  • Conducting pay equity assessments before the directive is fully enforced
  • Developing internal processes for salary reporting and compliance tracking
  • Training HR and leadership teams on pay transparency policies
  • Enhancing employer bring through proactive transparency initiatives

This training is coordinated by Vinciane Istace, Partner and Tessy Thill, Director at PwC Luxembourg.

Vinciane Istace is a partner in the People, Experience and Change service team at PwC Luxembourg with over 30 years of experience. She has led the HR function at PwC, structuring operational capabilities and co-designing the firm’s HR strategy. Currently, she oversees the People and Process Outsourcing practice, providing clients with payroll, immigration, and HR administration support, as well as strategic HR advisory services. Vinciane combines deep HR technical expertise with extensive experience in fostering positive workplace interactions. She is also a diversity and inclusion leader, head of communication and PR, and a regular speaker at conferences, with notable projects including the EIB Gender Strategy Evaluability and university HR transformation initiatives.

Tessy Thill is a director specialising in human resources management, project management, and change management, with over 15 years of experience focused on the human aspects of change and transformation. She has extensive expertise in supporting organisational, digital, and cultural transformations, having worked 15 years in Belgium as an HR professional and change manager before joining PwC Luxembourg in October 2021. Tessy excels in project design emphasising change management, transformation, HR strategy, and training, and provides consulting on change management and HR topics. Her leadership includes designing people-centered strategies, facilitating workshops, coordinating leadership development programs, and formulating HR organisational recommendations aligned with strategic priorities.