Pay equity and transparency: draft implementing decree presented
Italy is among the first Member States to have adopted the draft implementing legislative decree of EU Directive 2023/970, which yesterday received its initial approval from the Council of Ministers.
The measure introduces significant new developments, starting with the central role assigned to collective bargaining, which is tasked with defining job classifications, grading systems, and pay parameters consistent with the new European regulatory framework.
The draft decree also fully implements the Directive’s core principle: equal pay for the same work or for work of equal value. Evaluation criteria must be objective, gender-neutral, and based on skills, effort, responsibility, and working conditions. These criteria will become binding and must be incorporated into company pay systems.
The obligations already applicable at the recruitment stage are also confirmed, with the aim of preventing pay disparities from the very entry into employment.
The message is clear: companies operating in Italy must take action now. Compliance must be ensured by 7 June 2027.
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