Pay Transparency: The Complete Guide for Belgian Companies (2026)

Directive 2023/970, obligations by company size, Belgian timeline: everything HR managers need to know about pay transparency in 2026.
Pay Transparency: The Complete Guide for Belgian Companies (2026)
Published on
July 9, 2026

June 7, 2026, marks the deadline by which the European Pay Transparency Directive was to be transposed into the national law of Member States. For thousands of Belgian companies, the rules are changing: salary ranges in job postings, an enhanced right to information for employees, and mandatory reporting on the gender pay gap. This guide explains what the directive practically imposes, to whom, according to what timeline, and why the real challenge is not legal, but organizational.

Pay Transparency: What Are We Really Talking About?

Pay transparency refers to an organization's ability to make the mechanisms that determine employee remuneration visible and understandable. It does not mean publishing everyone's salary on the intranet. It is something much more demanding: being able to explain, at every level of the company, why a specific position is paid at a certain level, according to what criteria, and how these criteria are applied consistently and non-discriminatorily.

Pay transparency covers three distinct dimensions:

  • External transparency (towards candidates): Displaying salary ranges in job offers, and banning the practice of asking for a candidate's salary history.
  • Internal transparency (towards employees): The right to know the criteria used to set salaries, compare one's compensation with peers, and obtain a documented response to any inquiries.
  • Structural transparency (towards representative bodies and authorities): Producing reports on the gender pay gap, with an obligation to correct unjustified discrepancies.

Why did the European Union decide to legislate? Because voluntary approaches failed. The EU gender pay gap narrowed from 16.2% to 11.1% between 2011 and 2024—thirteen years to achieve a five-percentage-point improvement. Yet, the principle of equal pay has been enshrined in European law since the Treaty of Rome in 1957. Since recommendations were not enough, Directive 2023/970 establishes binding obligations.

What Directive 2023/970 Practically Imposes

Directive (EU) 2023/970 of the European Parliament and of the Council, adopted on May 10, 2023, in Strasbourg, aims to strengthen the application of the principle of equal pay for equal work or work of equal value. It is structured around four operational pillars.

Pillar 1 — Transparency in Recruitment

Companies will have to state the starting salary or its range in job postings, or at the latest, prior to the first interview. The practice of "salary dependent on profile" disappears. It will also be forbidden to ask candidates about their salary history in previous positions.

This represents a profound cultural shift for many Belgian recruiters. Salary negotiation can no longer rely on information asymmetry.

Pillar 2 — Employees' Right to Information

All employers, regardless of their size, must formalize and make accessible the objective criteria used to set salaries: classification grids, levels of responsibility, required skills, and seniority. An employee can request to know the average pay level, broken down by gender, for the category of workers performing the same work or work of equal value. The employer must respond.

This right to information transforms the individual relationship with salary. An employee who feels underpaid will now have the means to verify and demonstrate it.

Pillar 3 — Reporting on Gender Pay Gaps

This is the most structurally impactful obligation for larger companies. Companies with between 100 and 250 employees must provide a gender pay gap report every three years. Those with more than 250 employees must do so annually.

This report must include the mean and median gender pay gap, the gap in variable pay components, and the proportion of workers in each salary band.

If the gender pay gap exceeds 5% without any objective justification, the employer is required to take corrective measures. This 5% threshold is the legal trigger for a mandatory obligation to act, not a mere recommendation.

Pillar 4 — Shift in the Burden of Proof and Sanctions

This is the most radical shift in the balance of power. The burden of proof is reversed: in the event of a dispute, it is the employer who must demonstrate the absence of discrimination, rather than the worker having to prove they are a victim.

Sanctions for non-compliance are significant. The directive requires Member States to provide for "effective, proportionate, and dissuasive" penalties, the amounts of which will be defined by Belgian national transposition. Added to this is the possibility of exclusion from public tenders and the obligation of full compensation for victims, with no upper limit.

What Applies Today: All Companies

Upon transposition of the directive into Belgian law, all companies without exception are affected by recruitment transparency obligations and the employees' right to information. There is no size threshold for these two aspects.

⚠️ Important Note on Belgium: As of today, the transposition of the directive into Belgian law is partial and delayed. It was implemented for the French-speaking public sector via a decree from the Wallonia-Brussels Federation (adopted on May 16, 2024, and in force since January 1, 2025) as well as for the Flemish public sector via a Flemish government decree scheduled to enter into force on June 7, 2026. For the federal private sector, no text has been adopted yet: discussions are ongoing within the National Labour Council, and the Belgian government officially requested a six-month extension from the European Commission on June 1, 2026. However, in the absence of formal transposition, private sector workers will still be able to rely on the direct effect of the directive starting June 7, 2026.

Reporting by Workforce Threshold: A Clear Overview

Company Size Reporting Frequency First Report Due
250 employees or more Annual June 7, 2027
150 to 249 employees Every 3 years June 7, 2027
100 to 149 employees Every 3 years June 7, 2031
Fewer than 100 employees Not mandatory (unless chosen nationally)

What Belgium Already Had in Place

For Belgian HR managers, part of the groundwork has already been laid. The Law of April 22, 2012, already requires companies with at least 50 workers to submit an analysis report on their pay structure to the Works Council or union delegation every two years. Companies with 100 workers or more use a full form; those between 50 and 100 use an abbreviated one.

The European Directive goes further: it requires external publication of this data, rather than just internal communication to staff representatives. The difference is substantial.

The Real Challenge: Before Publishing Numbers, You Need to Have Them

This is where most companies will hit an uncomfortable reality. Meeting the obligations of the directive requires having a structured, documented, and defensible pay policy. For many companies with 200 to 600 employees, this is simply not the case.

Salaries have often been built organically over time: individual negotiations, profile-based adjustments, informal seniority, and recruitment pressures on certain roles. The result is a compensation architecture that no one truly controls.

Publishing data on such an architecture means exposing oneself.

The 4 Organizational Prerequisites to Put in Place

  1. A Documented and Gender-Neutral Job Classification
  2. Collective Labour Agreement (CBA/CCT) No. 25 already requires job evaluation systems and pay classifications to be gender-neutral. The directive reinforces this obligation. Every position must be evaluated based on objective criteria: level of responsibility, skills required, working conditions, and effort. These criteria must be written, accessible, and applied consistently.
  3. Salary Grids by Job Level
  4. This does not necessarily mean publishing every individual salary. It means defining ranges per level, aligned with the classification, and being able to explain where each employee sits within their range and why.
  5. An Internal Audit of Existing Gaps
  6. Before being forced to do so under legal pressure, do it yourself. Identify gender pay gaps within each category of comparable functions. Distinguish between justifiable gaps (seniority, performance) and unjustifiable ones. Address the latter before they turn into legal disputes.
  7. Training Managers for Salary Conversations
  8. Pay transparency will directly affect teams. An employee who discovers that a colleague at an equivalent level earns more will talk to their manager. This manager must be equipped to explain the gap or escalate it if the discrepancy is indeed unjustified. Without training, this conversation will either be avoided or prove catastrophic.

Questions Your Employees Will Ask

Prepare for these questions. They are coming.

  • "What is the salary range for my position?"
  • "Why does my colleague at the same level earn more than I do?"
  • "On what basis was my salary set at hiring?"
  • "What are the conditions for moving up within the range?"

If you do not have a documented, consistent answer to these four questions, now is the time to work on them.

Pay Transparency and Engagement: What the Data Shows

Legal compliance is the floor, not the ceiling.

Companies that treat pay transparency as a strategic lever rather than an administrative burden achieve measurable results in engagement and retention. The mechanics are simple: transparency reduces uncertainty, and uncertainty is a major driver of disengagement.

According to an analysis by Glassdoor, 67% of candidates consider pay transparency to be an important factor when evaluating a potential employer. In a job market where talent attraction is a matter of survival for many companies, this is a signal hard to ignore.

67% of candidates consider pay transparency to be an important factor when evaluating a potential employer.

What Companies Handling This Transition Well Do Differently

  • They anticipate. They don’t wait for the question to come from employees or unions; they initiate the conversation. They explain their remuneration policy internally before being forced to do so externally.
  • They invest in managerial communication. Transparency is not just an HR document posted on the intranet. It is the ability of managers to explain, contextualize, and answer honestly.
  • They measure the perception of fairness. Just because a remuneration policy is objectively fair does not mean it is perceived as such. This distinction between actual fairness and perceived fairness is central to engagement. A company can have perfectly consistent grids yet still have employees who feel underpaid because no one has explained how it works.

The Risk of Mismanaged Transparency

We must call out the risk. Enforced transparency without proper preparation can create more tension than it resolves. Discovering a pay gap without an explanation fuels distrust. The directive creates an obligation of result. The path to get there is a managerial decision.

Key Takeaways and Next Steps

Pay transparency is not just an HR compliance topic reserved for lawyers and payroll managers. It is an organizational diagnostic. It forces an answer to a simple, and often uncomfortable, question: do you really know how salaries are structured in your company? And can you explain it to your employees?

Three priority actions for Belgian HR managers as of early June 2026:

  1. Inventory what already exists. Is your biennial 2012 Law report up to date? Is your job classification documented and gender-neutral? These elements are your starting point for compliance.
  2. Calculate your gaps before the law forces you to. Identify gender pay gaps by category of comparable roles. Distinguish what is justifiable from what is not. Resolve discrepancies internally and calmly before they turn into disputes.
  3. Measure your employees' perception of fairness. A well-constructed remuneration policy is worthless if no one understands or trusts it. Before publishing figures externally, know what your teams think internally.

This is precisely where eBloom can help you: by regularly measuring the perception of fairness and transparency within your teams, you gain a leading indicator before the directive forces your hand. Internal data is your best steering tool before it becomes an external obligation.

Sources Used in This Article

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