EU Pay Transparency for Spanish Companies

The EU Pay Transparency Directive And What It Means for Spain

The EU Pay Transparency Directive is set to reshape how organizations across Europe approach pay equity. Although Spain has already implemented key pay transparency measures, it is still crucial to analyze how other countries—such as Sweden, Poland, and Belgium—are adapting to the directive. In fact, understanding these early adopters’ strategies will not only help Spanish businesses proactively align with upcoming changes but also ensure compliance before the June 7, 2026 deadline.

Key Insights from Early-Adopting Countries of EU Pay Transparency

Several EU member states have already begun incorporating the EU Pay Transparency Directive into their national labor laws. Therefore, let's take a look at how leading nations are progressing:

Sweden: The Swedish government initiated an investigation in May 2023 to integrate the directive into national law. Subsequently, by May 29, 2024, the Ministry of Labor and Employment received a draft legislative report currently under review.
Belgium: On September 12, 2024, the Parliament of the French Community transposed the directive, applying to employers under its jurisdiction, thus potentially setting a precedent for national adoption.
Poland: A draft of the directive was published on December 5, 2024, marking a significant step in Poland’s compliance efforts.
Germany: Government officials have indicated plans to finalize transposition by the end of the current legislative session, with draft legislation expected soon.
Netherlands: A legislative proposal is anticipated in the second half of 2024. However, governmental delays may impact the timeline.

With each country implementing different aspects of the directive, it is evident that Spain has an opportunity to learn from these approaches in order to streamline its own transition.

Group of four people smiling and talking about pay.

How the EU Pay Transparency Directive Will Impact Spain

Spain already enforces pay transparency regulations for companies with more than 50 employees, requiring pay audits and equality plans. Nevertheless, the EU directive introduces additional measures that may prompt significant regulatory changes, including:

1. Enhanced Transparency Requirements

Spain may need to adopt stricter transparency rules, such as requiring salary disclosures in job postings. For example, this policy is already being explored in Poland.

2. Stronger Compliance and Penalties

Countries like Sweden and Belgium have introduced tougher penalties for non-compliance. Similarly, Spain may follow suit to effectively strengthen enforcement mechanisms.

3. Mandatory Employee Access to Pay Data

The directive grants employees the right to request pay-related data. As a result, Spanish businesses must establish clear and accessible pay reporting structures.

4. Adjustments to Collective Bargaining Agreements

Unions and employee representatives are expected to gain a stronger role in actively negotiating fair pay policies, aligning with trends seen across other EU nations.

How Pihr Can Help Spanish Businesses Prepare

Spanish organizations must take proactive steps to ensure compliance with the EU Pay Transparency Directive. With this in mind, Pihr provides businesses with:

Automated pay audits to identify and correct pay gaps well before compliance deadlines.
Comprehensive compensation structure reviews to ensure salary fairness and transparency.
Recruitment process optimization to align with new transparency obligations.

By leveraging insights from Sweden, Poland, and Belgium, Spanish businesses will be able to anticipate challenges and implement best practices ahead of time.

Act Now: Prepare for the 2026 Deadline

With the June 2026 deadline approaching, it is expected that more countries will finalize their frameworks and submit official compliance proposals. Thus, companies that act early will not only gain a competitive advantage but also ensure they meet regulatory requirements while fostering a more fair and transparent workplace.

Stay Ahead with Pihr and Squarepoint

Pihr and Squarepoint are committed to supporting Spanish businesses in adapting to the new pay transparency landscape. So, why wait? Contact us today to learn how our solutions can help your organization stay compliant, competitive, and equitable in the evolving EU labor market.