The EU directive on pay transparency keeps employers awake: research

While the first reporting deadline is set at 2027, the report notes that the last chance for employers to make wage adjustments will be in 2025, as the first report will be based on 2026 payroll data.

These concerns come as the report also shows that only 12% of employers are “fully prepared” for the upcoming directive.

Another 61% feel somewhat prepared, while 26% say they are “not prepared at all.”

“The EU directive on pay transparency is the most important part of this pay equity legislation anywhere in the world for the past 50 years,” said Christine Hendrickson, VP Strategic Initiatives at Syndio, in a statement.

“But I fear there are too many leaders, including some US-based employers with a footprint in the EU, who have not yet digested what a huge change management exercise this will be.”