Pay transparency as an element of equality culture

In recent years, pay transparency has gained significance, particularly in the context of promoting equal career opportunities and reducing pay inequalities concerning women. In response to this issue, the EU has adopted a directive on pay transparency, aimed at ensuring pay equality and fairer treatment of employees in member states. This directive applies to both companies and institutions employing workers within the Union and mandates the disclosure of pay information and the analysis of pay disparities.

New obligations for employers
The EU directive on pay transparency is primarily aimed at employers with more than 100 employees. It introduces a range of obligations related to disclosing pay information within companies, including annual reports and analyses of pay differences between employees of different genders. A key aspect is the requirement to present data on average pay and discrepancies between the pay of women and men.

Companies subject to the new regulations will need to take specific actions. The first step is to collect data on the pay of all employees, considering gender, position, experience, and other factors that may affect salary levels. The next element will be to implement a system that allows for regular reporting of this information by the new requirements. It is also necessary to ensure transparency – both internally and externally, depending on legal requirements.

Eliminating the gender pay gap
One of the main goals of the directive is to reduce pay differences, primarily between women and men. At the EU level, the issue of pay equality is treated as a priority, especially since in many countries, including Poland, women still earn less than men despite similar qualifications and experience. The EU directive introduces a range of tools aimed at monitoring and eliminating these inequalities.

According to Eurostat data, in 2023, the gender pay gap in the EU averaged approximately 13% – meaning that women earn on average 13% less than men. These differences are particularly noticeable in sectors dominated by women, such as education and healthcare.

It is worth noting that although the directive does not use the term ‘glass ceiling’, in the context of the labour market, the term ‘sticky floor’ appears, referring to specific barriers that women still encounter in the labour market. This includes burdens related to excessive family care, as well as stereotypes about gender roles that may limit women’s career opportunities. The directive aims to provide women with better conditions for promotion and career development, giving them a chance for greater pay and professional equality.

Additionally, research conducted by McKinsey & Company shows that organisations that have implemented pay transparency have seen an average 10% increase in employee satisfaction and an improvement in diversity at higher levels. Such actions contribute not only to pay improvement but also to overall equality within the organisation.

Are Polish companies ready for pay transparency?
According to announcements, in Poland, work on implementing the pay transparency directive is expected to be completed by the end of 2025. Organisations must therefore prepare for these changes and adjust their procedures to meet the requirements arising from EU regulations. It is expected that appropriate national rules will be introduced shortly, implementing the provisions of the EU directive into Polish law. For employers, this means the need to adapt their pay policies, including adjusting reporting and analysing systems for gender pay differences.

An important element is also the issue of monitoring the effectiveness of the new regulations. Institutions dealing with the labour market will need to prepare appropriate tools and mechanisms to assess the implementation of the directive in practice.

The future of pay transparency in Poland
For companies that need to implement the new regulations, the challenge will be not only to adjust pay policies but also to prepare appropriate analytical and reporting systems. Pay transparency is a topic that will remain significant in the coming years, in Poland and throughout the EU, and this trend is expected to continue.

The introduction of the pay transparency directive is an essential step towards pay equality and a fairer labour market. In the long term, pay transparency can contribute to greater openness and trust in employer-employee relationships. These changes also have the potential to create a more level playing field, especially since this regulation almost coincides with the ‘Women on Boards’ directive.