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Compensation transparency

Analysis of Directive (EU) 2023/970 on pay transparency

Directive (EU) 2023/970, adopted in May 2023, marks a turning point in the European labor market. More than a legal instrument, it represents a paradigm shift in how organizations think about, structure, and communicate the remuneration of their staff.

The Directive in question aims to strengthen the principle of equal pay for equal work or work of equal value between men and women, using mechanisms for pay transparency and more robust monitoring instruments.

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