With the EU Pay Transparency Directive, which came into force in 2023, the labor market is moving toward a future with greater openness about wages. The directive, which all member states must implement by 2026 at the latest, obliges companies to document and make pay structures visible – particularly to prevent gender-based pay discrimination. This applies not only to lower-paid groups but also to specialists and managers, where pay differences are often less visible and negotiations more individualized.
A new reality for salaries in recruitment
With the new Pay Transparency Directive, salary negotiations will no longer be entirely open-ended. Companies may no longer ask candidates about their current salary and must instead disclose a genuine salary range for the position in question. This changes the recruitment process – including for specialists and executives.
The directive entails that:
• Job postings must include information about salary ranges or expected pay levels.
• Employers may no longer ask candidates what they previously earned.
• Employees have the right to access average salary data for comparable roles.
• Companies with more than 100 employees must report pay data by gender – and take action if unequal pay cannot be justified objectively.
This means many companies will need to rethink how they set and communicate salaries going forward.
How Foodjob Nordic works with pay transparency
At Foodjob Nordic, we are committed to creating transparency and ensuring clear alignment between companies and candidates – and we see the directive as an opportunity to strengthen professionalism in pay discussions. Salary determination and expectation management are always key focus areas in our recruitment processes. This means:
• We advise companies on relevant salary ranges for specific roles and current market conditions.
• We help candidates assess their market value and express realistic salary expectations.
• We facilitate the necessary exchange of information on salary frameworks and expectations during the recruitment process.
In light of the directive, we are working to further strengthen our tools and advisory services on benchmarking and salary structures. This enables our clients to prepare more proactively for future requirements and evolving practices within compensation management. Together with our clients, we aim to leverage the opportunities that increased transparency brings — opportunities to build greater trust, improve recruitment processes, and enhance employer branding.
Preparation strengthens competitiveness for top talent
The EU Pay Transparency Directive introduces new requirements for recruitment processes. With our deep understanding of the food industry and its specialist and management roles, Foodjob Nordic is ready to help companies adapt procedures, ensure pay transparency, and maintain a professional dialogue with the market’s most qualified candidates.
