PAY TRANSPARENCY: DECREE IMPLEMENTING EU DIRECTIVE 2023/970 PUBLISHED
With its publication in the Official Gazette on 1 June 2026, Italy has completed the transposition of Directive (EU) 2023/970, introducing a comprehensive set of rules aimed at strengthening the principle of equal pay between men and women through pay transparency.
The measure establishes a structured regulatory framework that is set to have a significant impact on:
- recruitment processes,
- job classification and grading systems,
- remuneration policies,
- internal information flows.
Among the most immediate changes are the new rules applicable to the pre-employment phase:
- the obligation to indicate the initial salary or the relevant salary range in job postings;
- the prohibition on requesting information concerning the candidate’s salary history;
- the requirement to ensure gender neutrality in job advertisements and selection criteria.
New information rights are also introduced for employees, who will be entitled to access average pay levels as well as the criteria used to determine remuneration and career progression.
The decree further provides for mechanisms to systematically monitor the gender pay gap, with reporting obligations differentiated according to company size.
Particularly noteworthy is the obligation to implement corrective measures, including joint assessments with employee representatives, where a difference of at least 5% is identified between the average pay levels of female and male workers.
Under the new framework, pay transparency emerges as a key issue of governance and strategic compliance, with cross-cutting implications for HR and overall corporate organisation.
