EU Pay Transparency Directive

From your first analysis to full, ongoing compliance.

The EU Pay Transparency Directive (2023/970) becomes active June 2025. Upload your payroll data, run your gender pay gap analysis, get a comprehensive report. Free for any company.

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Directive (EU) 2023/970
June 7, 2026. Five new obligations.
At least four apply to your company, regardless of size.
01 | All companies
Right to information
Any employee can request their pay level, the criteria used, and the average pay per category by gender.
02 | All companies
Structured pay systems
Objective, neutral, and verifiable criteria are required. Job functions must be described, salary bands defined, and progression criteria documented.
03 | All companies
Recruitment transparency
Salary ranges must be disclosed before or at the job offer stage. Asking candidates about their salary history is now prohibited.
04 | All companies
Reversed burden
of proof
If an employee files a discrimination complaint, the company must prove none occurred. The burden is longer on the employee.
05 | 100+ Employees
Gender pay gap reporting
(100+ employees) Periodic formal reporting. A gap of 5% or more trigger a 6-month correction window.
Company size
GPG reporting
First report due
Right to information
≥250 employees
Annual
2027
From 7 Jun 2026
150–249 employees
Every 3 years
2027
From 7 Jun 2026
100–149 employees
Every 3 years
2031
From 7 Jun 2026
<100 employees
Not required
From 7 Jun 2026
Source: Directive (EU) 2023/970 · national transposition, 7 June 2026.
No formal reporting obligation doesn't mean no obligation. The right to information — and the need to respond with documented criteria — applies to all companies, of any size, from 7 June 2026.
See how it works
Data upload → compliance report in 15 minutes
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Coverflex's pay transparency assistant

Questions about pay transparency? Ask us anything.

The Problem
Reporting isn’t the problem. Visibility is.
Companies from 25 to 500 employees have payroll running. This isn't the same as having a compensation structure.
12.5%
average gender pay gap  in Portugal
CITE Barometer 2023
21.7%
are in the private sector; above the European average
CITE 2023
83%
of HR professionals don't know the Directive's requirements well
CITE Barometer 2023
19%
of managers are actively taking action
Coverflex, Sep 2025
GAP 01
Scattered data
Payroll data and HR tools that don't talk to each other. There's no single source of truth to answer an information request.
GAP 02
No visibility before
it's too late
Companies have no way to know if they're compliant before submitting to labour authorities.
GAP 03
No written criteria
Raises & promotions decided case by case with the “why” isn’t recorded. That doesn't survive a complaint or inquiry.
GAP 04
No ongoing process
A consultant's report is only a one-off fix. Not considering the next information request, the next audit, or the next hire.
Solution: Coverflex Pay Transparency
Everything you need to go from payroll exports to a defensible compensation structure.
Compensation 360°
For the first time, HR has a complete picture, in one place.
Consolidate salaries, benefits, insurance, and perks.Every decision is based on structure, not spreadsheets.
Salary bands by department
Bulk import payroll exports and HR records in one step
Total compensation by department (base + variable + benefits + perks)
Compensation distribution and headcount by seniority level
Pay Equity
Your GPG analysis, without blind spots.
Structured analysis covering base salary, variable pay, & total compensation
Average base salary gap in euros and percentage points
Gender cost split per department
Compensation distribution and salary spread across roles
Headcount by seniority: the main driver of the unadjusted GPG
Compliance
GPG calculated to the Directive's exact methodology.
Run both the simple (unadjusted) and adjusted GPG.
Eligibility funnel: total → eligible → in scope → final
Adjusted GPG across profession, qualification, education, and seniority
Gap driver cards: seniority pipeline, variable pay
GPG by department with status flags
AI-Guided Setup
From payroll CSV to your first analysis in 15 minutes.
Upload your payroll file. It’s sorted automatically. No configuration. No HR consultant required.
Conversational onboarding: AI asks for exactly what’s needed
Upload payroll data and HR records in one step
File validation with instant feedback
Dashboards created automatically
From first upload to continuous compliance.
Upload
Upload your payroll in CSV or Excel. The AI processes the file. You confirm the mapping and the dashboards populate automatically.
Structure
Compensation 360°, Pay Equity, and Compliance dashboards built automatically. No manual configuration required.
Analyse
Your gender pay gap runs. Compliance eligibility confirmed. Data confidence scored. HR training delivered on what the results mean.
Stay current
Every hire, pay rise, and promotion reflected in real time. Compliant at any moment. Gap monitoring that never stops.
Start for free.

Scale when you're ready.
The compliance analysis is free for any company. Coverflex customer or not.
Salary Transparency
Add-on
Available on: Starter and Plus plans Continuous access to the pay transparency platform.
2€ month/employee
Access to the compliance dashboard
Monthly monitoring and automatic updates
AI-assisted gap analysis
Compliance ready exports
Role mapping and salary bands
Total Plan
recommended
The full Compensation 360ºexperience: benefits, insurance, Flexpay, & Salary Transparency included.
12€ month/employee
Meal card (income tax + social security exemption)
Flexible benefits (health, education, transport)
Insurance and integrated management
Flexpay, discounts, and full app
Salary Transparency included
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1. Onboarding is super easy and quick. 2. Pays for itself - both employers and employees save huge amounts of money. 3. Stellar customer service. There are valid alternatives in the market but everyone of them solve a single pain point, whereas Coverflex is a 360 solution: childcare vouchers, meal card, health insurance, you name it.
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Great software. Ease of use, benefits, support, dedicated team.
Coverflex greatly reduces administrative work and gives the employee the power to choose what they want to do with the money they have available.
It is placing the burden of decision making on employees, on what are the benefits valued by our people.
Coverflex had a very positive impact for us, and the platform itself is geared towards the employee: it places them as the decision maker of their own income.
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FAQs

What is the EU Pay Transparency Directive (2023/970)?
Does the EU Pay Transparency Directive apply to companies with fewer than 100 employees?
What is a gender pay gap and how is it calculated under the directive?
What does "work of equal value" mean under the directive?
What happens if a company does not comply with the pay transparency directive?
Is the Coverflex Salary Transparency audit really free?
How long does the Coverflex pay transparency audit take?
Is payroll and salary data secure on Coverflex?
What data does my company need to run the audit?
Does Coverflex work for companies that do not yet have salary bands?