Compliance tools · Corporate governance, employment and financial

Pay Transparency Directive compliance tool

Directive (EU) 2023/970 · European Union · Binding instrument

Name anyone on your staff. The system makes them your compliance person.

A member of your own staff, with no compliance background, reads the training module, answers the interview, and finishes with your Pay Transparency Directive documentation cited article by article. The knowledge stays in the business.

Every account level runs inside a dedicated Claude account. Anyone can try a toolkit in their own Claude account; compliance work runs in a dedicated one. The Claude Max plan is £90 a month, paid to Anthropic, and is not included in any level.

See a finished report before you pay

Pay Transparency Directive is Directive (EU) 2023/970, a binding instrument in the European Union. Pay transparency and gender pay gap reporting, phased by employer size from 2027.

The free assessment screens for Pay Transparency Directive when a business employs staff.

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• Your exact position under Pay Transparency Directive: what is in place, what is missing, and what to do about each gap.
• Documentation with article citations, ready for auditors, insurers, customers and public buyers.
• A trained person inside the business who understands what the regulation requires, and stays.
• A dated record of every section completed, with the reports themselves staying in your own Claude account. The toolkit is carried by an account level, see the plans.
• All of it completed in-house, at your own pace, without booking a single meeting.

Check that Pay Transparency Directive applies to your business, free →

Does Pay Transparency Directive apply to my business?

The Directive applies to you if you are an employer in the public or private sector with workers holding an employment contract or employment relationship as defined by national law, collective agreements and practice (Article 2). It also covers applicants for employment for pre-employment pay transparency under Article 5.

Who does Pay Transparency Directive apply to?

It applies to all employers in the public and private sectors (Article 2), and to all workers, including part-time, fixed-term, temporary agency, management, domestic, on-demand, intermittent, voucher-based, platform, sheltered employment workers, trainees and apprentices. Applicants for employment are covered for pre-employment pay transparency under Article 5.

Does Pay Transparency Directive apply to a small business?

The Directive has no general size threshold, but it calibrates duties by headcount. Employers with fewer than 100 workers are not mandatorily subject to pay gap reporting but may report voluntarily (Article 9), and Member States may exempt employers with fewer than 50 workers from pay progression transparency (Article 6(2)).

When does Pay Transparency Directive apply from, and what are the deadlines?

Member States must transpose the Directive by 7 June 2026 (Article 34(1)). Employers with 250 or more workers must file their first pay gap report by 7 June 2027 and annually thereafter (Article 9(2)); employers with 150 to 249 workers file by the same date then every three years (Article 9(3)); employers with 100 to 149 workers file first by 7 June 2031 (Article 9(4)).

What does Pay Transparency Directive require me to do?

You must maintain gender-neutral pay structures (Article 4(4)), give applicants pay or pay range information and avoid pay history questions (Article 5), make pay and pay progression criteria accessible (Article 6(1)), answer individual pay information requests within two months (Article 7(4)), report gender pay gaps (Article 9), and run a joint pay assessment where a gap of 5 per cent or more appears (Article 10(1)).

What records or documents does Pay Transparency Directive require me to keep or produce?

You must produce gender pay gap reports at intervals set by employer size (Article 9(2) to 9(4)), have their accuracy confirmed by management after consulting workers' representatives (Article 9(6)), submit data to the monitoring body, and make a completed joint pay assessment available to workers, workers' representatives and the monitoring body (Article 10(3)).

What happens if I do not comply with Pay Transparency Directive?

Member States must lay down effective, proportionate and dissuasive penalties, which may include fines based on gross annual turnover or total payroll (Article 23(1) and 23(3)), with specific penalties for repeated infringements such as revocation of public benefits or exclusion from public tenders (Article 23(2)). Workers may also claim full compensation including back pay (Article 16(1) and 16(2)).

Does Pay Transparency Directive apply to a UK business selling into the EU?

The Directive applies across the 27 EU Member States, and employers operating in multiple Member States must comply with each national transposition (Section 2). The instrument does not state a rule for a UK business selling into the EU.

How do I start complying with Pay Transparency Directive?

The first practical step is to maintain pay structures that enable assessment of whether workers are in comparable situations, based on objective, gender-neutral criteria covering skills, effort, responsibility and working conditions, agreed with workers' representatives where they exist (Article 4(4)).

Which ComplianceSME account includes the Pay Transparency Directive toolkit?

The Pay Transparency Directive agent toolkit is included from the Micro level.

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