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Pay Transparency: update on the transposition of the EU Directive

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Equal pay between women and men remains a concrete challenge in the world of work. Directive (EU) 2023/970 aims to strengthen pay transparency and ensure that those performing the same work or work of equal value receive fair remuneration.

Italy has initiated the transposition process with Delegation Law No. 15/2024, and the draft legislative decree is currently under examination by the Chamber of Deputies.

The text introduces clear rules: transparent job postings, employees’ access to pay criteria, monitoring of the gender pay gap, and an obligation for companies with more than 100 employees to adopt corrective measures in the event of unjustified disparities.

A key development this week concerns progress at the consultation table between the Ministry of Labour and the social partners. During the meeting, the completion of the draft Legislative Decree was confirmed. The text will now be submitted to the Council of Ministers and subsequently to the Parliamentary Committees, with the aim of completing the process by 7 June 2026.

The draft Decree fully incorporates the principles of the Directive and introduces key elements such as coordination with national legislation and collective bargaining agreements (CBAs), alignment with the Equal Opportunities Code, strengthened pay transparency from the recruitment stage, and joint assessment with trade union representatives in cases where the gender pay gap exceeds 5% without justification.

Particular attention is given to the principle of reversal of the burden of proof: in the event of a dispute concerning pay discrimination, the employer will be required to demonstrate the absence of violations.

The measure represents not only a regulatory obligation but also an important cultural step forward. It promotes greater fairness and accountability and requires companies to structure their pay systems in a transparent manner, clearly defining the criteria used to determine salaries.

The process is still ongoing, and we will continue to closely monitor developments in order to support companies and employees in managing this transformation.

The Law Firm remains available for any further clarification.

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