How Should Employers Adapt Their Pay Transparency To New Legistlation?

How Should Employers Adapt Their Pay Transparency To New Legistlation?

Discover how clear pay, fair rewards, and modern benefits can build trust and engagement.

How Should Employers Adapt Their Pay Transparency To New Legistlation?

Across the EU, UK, and US, pay transparency is no longer an idea; it’s becoming law. New regulations are pushing organizations to disclose salary ranges, justify pay decisions, and prove they are addressing gender and equity gaps.

For HR leaders, this moment is more than a compliance exercise. It’s a chance to rethink how total rewards — pay, benefits, and wellbeing — work together to build trust and engagement.

In 2025, the EU Pay Transparency Directive is set to take center stage. It came into force in June 2023, and Ireland has until June 2026 to implement the new rules. It requires companies to share information about pay gaps, provide clear salary ranges in job postings, and empower employees to request compensation data, according to PWC. Similar moves are underway in several U.S. states and UK jurisdictions.

While this transparency is a positive step for fairness, it’s also forcing organizations to examine long-standing pay structures that may not have evolved with their workforce.

This shift is exposing hidden inequities and prompting a new question for leaders: When salary alone isn’t enough to differentiate or retain talent, how can the broader rewards strategy evolve?

Transparency can’t stop at pay ranges. Employees want to understand the why behind their total compensation — from salary to benefits to wellbeing initiatives.

Employers are using this moment now to create clarity and confidence across their total rewards approach by considering:

  • Clear communication about how pay and benefits are structured
  • Personalised benefits that reflect employees’ different needs and life stages
  • Technology platforms that make total rewards visible and easy to understand

This holistic approach helps employees see the real value of their package, not just the number on their pay slip.

Increased transparency often shines a light on differences in pay that may be difficult to resolve immediately. That’s where benefits can play a powerful role.

Modern benefits strategies can help balance the scales by focusing on value beyond pay:

  • Flexible benefits that allow employees to tailor their rewards based on personal priorities — whether that’s healthcare, wellbeing, financial security, or family support.
  • Wellbeing and care programmes that demonstrate genuine investment in people, not just compliance.
  • Data-driven insights that help HR leaders understand which benefits drive engagement and retention, allowing for smarter resource allocation.

Managing this manually is no longer scalable or sustainable. With regulations evolving and employee expectations rising, organizations need tools that unify and simplify total rewards management.

Eppione gives employers a single, global view of compensation and benefits, making it easier to stay compliant, transparent, and competitive. Employees can see the full picture of their rewards, while leaders gain the insights to make equitable, data-driven decisions.

Pay transparency isn’t just a legal requirement; it’s a cultural shift. Employees increasingly expect honesty, openness, and flexibility from the organizations they trust with their careers.

Leaders who embrace this proactively, combining clear pay frameworks with flexible, meaningful benefits, won’t just avoid risk; they’ll stand out as employers of choice in an era where trust and fairness define the workplace.

See how Eppione helps leading organizations create transparency, engagement, and equity in one seamless platform.