Top 10 most frequent questions employers ask about pay transparency

No. While the reporting obligations on the gender pay gap will be introduced progressively based on company size (starting with employers with 250+ employees and later extending to those with 100-249 employees), the core principles of pay transparency - including the right of employees to pay information, transparent pay-setting practices and the prohibition of pay discrimination - apply to all employers, regardless of headcount.

In other words, smaller employers must still ensure equal pay for equal work or work of equal value and comply with transparency requirements throughout both recruitment and employment.

Equal pay does not mean identical pay. Employers may differentiate between employees holding the same position if the differences are objectively justified by factors such as performance, experience, qualifications or seniority.

The Directive requires that pay practices be transparent, consistent and based on objective criteria - not on gender or any other discriminatory grounds. As a result, having a well-defined job evaluation system and a clear performance management framework becomes essential.

No, the Directive does not require employers to publish individual salary levels. However, employees will have the right to request information about their own pay level as well as the average pay levels - broken down by gender - for colleagues performing the same work or work of equal value.

In addition, employers will be required to report aggregated gender pay gap data (both internally and to the authorities) once they meet the size threshold and they must disclose pay ranges in job postings or prior to interviews.

The Directive enforces equal pay for work of equal value but allows pay differentiation where there are clearly different levels of performance. In this context, the performance management system is the appropriate instrument through which employers can highlight genuine differences in contribution.

To ensure that such pay variations are legitimate, the principles underpinning performance criteria must be well-defined, applied consistently and allow for measurable evaluation, so that any pay differences can be objectively justified and withstand scrutiny during audits or employee inquiries.

Employers will need to indicate the initial pay level or pay range in the job posting or provide it before the first interview. This does not eliminate negotiation, but it frames it within a transparent and predefined range. Early disclosure of salary ranges is important to prevent carrying forward any potential prior pay discrimination affecting the candidate (for example, a previous lower salary due to unjustified reasons), ensuring that the final offer is based on objective criteria rather than salary history or unjustified differences.

Additionally, candidates may still negotiate a specific salary level based on their experience, skills, and the additional value they bring. However, employers must be able to explain and justify any offer that falls outside the pre-announced range.

This approach ensures a fair recruitment process and promotes equity, helping reduce unexplained pay gaps while preventing the perpetuation of any salary-related discrimination from previous roles.

Yes, indirectly. The Directive requires employers to ensure transparency in their pay structures and to communicate the criteria used for determining pay and pay progression.

Having a written remuneration policy helps demonstrate compliance, supports internal consistency and enables employees to understand how pay is determined. While the policy does not need to be fully public, key elements - such as pay bands/ grids, criteria and evaluation principles - should be accessible to employees.

Yes. The Directive requires employers to ensure that pay structures - including salary ranges and progression criteria - are based on objective, transparent and gender-neutral principles.

This means:

• Within salary grids: employers must apply clear criteria to justify any differences in base pay levels for employees performing the same or equivalent work (e.g., years of experience, level of performance, tenure, specific competencies, etc.).
• Between salary grids or pay levels: employers must define the rationale for differences between distinct positions or grades (e.g., work environment, required competencies, level of responsibility, complexity of work, impact on the business, etc.).

In practice, employers should use a documented job evaluation methodology or grading framework that defines how roles are compared, how unique positions are placed within the structure, and how movement at the individual level both across and within pay levels occurs, ensuring compliance with the equal pay principle.

Occupational segregation - where certain roles are predominantly male or female dominated - is a common factor influencing the overall gender pay gap. The Directive does not penalise companies for having gender imbalances as such, but it does require employers to analyse and address any structural causes that may lead to unequal pay for work of equal value.

In such cases, employers should:

• Conduct job evaluations based on objective, gender-neutral criteria to ensure that roles dominated by one gender are not undervalued.
• Perform pay gap analyses at the job level - not only at the organisational level - to determine whether pay differences reflect legitimate factors (e.g., tenure, performance) or indicate structural bias.
• Consider measures to attract underrepresented genders into certain roles, such as inclusive recruitment practices or targeted training programmes.

If significant pay gaps remain unexplained after analysis, employers will need to take corrective actions and carry out a joint pay assessment together with the union/employees' representatives in line with the Directive’s provisions.

In Romania, the main authority expected to oversee and enforce compliance with the Pay Transparency Directive will be the National Agency for Equal Opportunities between Women and Men (Agenția Națională pentru Egalitatea de Șanse între Femei și Bărbați - ANES), working in coordination with the Ministry of Labour and the Labour Inspectorate (Inspectoratul Teritorial de Muncă – ITM).

Once the Directive is transposed into Romanian law (with June 2026 as the final transposition deadline), these institutions are expected to have defined roles in receiving reports, reviewing and investigating pay gap data, and applying corrective or sanctioning measures.

Companies are strongly encouraged to start preparing early. Reviewing remuneration structures, applying job evaluation methodologies, and defining promotion and merit increase processes can be time-consuming, and aligning internal communication and transparency practices requires careful planning. Early preparation will help ensure smooth compliance once the national provisions become enforceable.

While the EU Directive provides the overarching principles, it leaves the detailed methodology for assessing pay gaps and implementing pay transparency to each Member State. In Romania, a national methodological framework is expected to be developed as part of the transposition process, potentially coordinated by the Ministry of Labour and ANES.

However, companies do not need to wait for local guidance to begin taking action. There are already well-established international best practices and certification frameworks - such as Equal-Salary Certification and other independent audits - that help organisations assess pay equity, review job evaluation systems, and strengthen transparency processes.

Adopting such structured approaches early can help employers identify potential pay discrepancies, strengthen internal governance, and demonstrate a proactive commitment to pay fairness and equal treatment standards.