EU pay transparency rules aim to make recruitment fairer by giving job applicants clearer information about salaries and helping tackle the gender pay gap.
Under the EU Pay Transparency Directive, candidates have the right to be informed about the initial salary or pay range for a position before an interview or through the job advertisement. Employers are also prohibited from asking candidates about their current or previous pay.
The changes are intended to help applicants assess job offers more effectively and negotiate salaries based on the role rather than their earnings history.
What the EU directive requires
Directive (EU) 2023/970 strengthens the principle of equal pay for men and women performing the same work or work of equal value.
Article 5 requires employers to provide candidates with information about the initial pay or pay range for a position, based on objective, gender-neutral criteria.
This information can appear in the job advertisement, be provided before the interview or be communicated through another method that allows applicants to negotiate with sufficient information.
The directive does not necessarily require every job advertisement to include a salary. It does, however, require employers to provide the information in time for candidates to make informed decisions.
Employers must also refrain from asking applicants about their current or previous salary, helping prevent past pay differences from influencing future earnings.
What the rules mean for Cyprus
Cyprus was required to transpose the directive into national law by June 7, 2026, but the process remains incomplete.
A draft bill has been prepared under the title The Law on Strengthening the Implementation of the Principle of Equal Pay between Men and Women for Equal Work or Work of Equal Value through Pay Transparency and Enforcement Mechanisms of 2026.
The proposed legislation covers salary information for job applicants, transparency in pay-setting and employees’ rights to access information about remuneration. However, the draft should not be confused with legislation already enacted in Cyprus.
For jobseekers in Cyprus, the distinction is important because the EU deadline has passed, but the national implementation process is still pending.
Greece to apply new rules from November 1
In Greece, the main provisions covering pay transparency and recruitment are due to take effect on November 1, following the adoption of Law 5316/2026 in July.
The new framework requires employers to provide applicants with information about the starting salary or pay range for a position. Where applicable, the information should also cover relevant bonuses, allowances and additional benefits, giving candidates a clearer picture of the overall remuneration package.
Employers will also be prohibited from asking candidates about their current or previous salary. Applicants will have the right to seek information about pay levels for comparable work, including average pay broken down by sex.
The aim is to make salary negotiations more transparent, reduce unjustified pay differences and strengthen the principle of equal pay for work of equal value.
Also read: Cystat: Average salary in Cyprus hits €2,591
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