Gender Pay Transparency Directive: European Commission reconfirms it expects full compliance

At a glance

• Some six weeks after the deadline passed for EU Member States to implement the Gender Pay Transparency Directive (Directive), on 22 July 2026 the European Commission issued a communication (Communication) on the European Pillar of Social Rights (Pillar).
• The Communication makes clear that the European Commission remains fully committed to ensuring the implementation, and enforcement, of the Directive.
• However, given only five Member States have passed final legislation implementing the Directive, it now remains to be seen what this repeated commitment to the Directive means in practical terms for the countries which have yet to comply.

Just over six weeks after the deadline passed for EU Member States to implement the Directive, on 22 July 2026, the European Commission issued a Communication on the Pillar.

The Pillar was jointly proclaimed in 2017 by the European Parliament, the Council and the Commission. It sets out 20 principles which establish a shared framework to promote social rights and improve living and working conditions across the EU.

In 2021, the principles were embedded in an Action Plan, which sets out multiple actions and targets.

This new Communication aims to deepen implementation of the Pillar. It takes stock of progress to date and identifies concrete priorities where further action is needed.

The Communication makes clear that the European Commission remains fully committed to ensuring the implementation, and enforcement, of the Directive.

It states that the Commission will continue to provide support to Member States and social partners to implement the Directive effectively, keeping administrative burdens proportionate while ensuring full compliance.

The Communication also says that the European Commission will provide further support in particular to SMEs, recognising them as 'key actors in realising the tangible impact of fair and transparent pay practices', including ensuring that implementation entails the least possible administrative burden.

However, given only five Member States – Italy, Malta, Greece, Slovakia and Lithuania - have passed final legislation implementing the Directive, it now remains to be seen what the European Commission's reconfirmed commitment to full compliance means in practical terms for the countries which have yet to comply.

While the focus on minimising administrative burdens appears positive – perhaps reducing the concerns of some Member States, including Sweden which has paused implementation and has indicated it wants to renegotiate the Directive's terms – at present full compliance does necessarily mean significant burden for Member States and employers.

A watching brief will therefore need to be maintained to see how the European Commission's pledged support translates in practice, and what approach it takes to enforcement in coming weeks and months for those Member States – such as Germany, Belgium and Spain - who are still a long way off having final legislation to implement the Directive.