Pay Transparency in Greece: How key obligations impact your organization and how to prepare

ARTICLE

Preparing organizations for a new era of pay transparency and equal pay

Pay transparency is rising steadily on the European and national agenda. With the introduction of the EU Pay Transparency Directive [and corresponding Greek Law 5316/2026, which transposed Directive (EU) 2023/970 into Greek Law, issued on 6 July and coming into effect as of 1 November 2026], the principle of equal pay for equal work or work of equal value is strengthened and transparency obligations for employers are enhanced. The new framework is expected to have a significant impact on how organizations manage remuneration, job architecture, recruitment, career progression, HR data and gender pay-gap reporting. 

Employers are required to provide more insight into their remuneration policies and to actively investigate pay differences between men and women. This requires more than just signaling: organizations must be able to explain differences and correct them where necessary. 

Pay transparency is no longer solely an HR or compliance topic. It is becoming a broader strategic, governance and data challenge, requiring coordination across HR, Legal, Compliance, Finance, Data & Technology, Internal Audit and Senior Management. Equal pay thus becomes a topic for which employers must demonstrably take responsibility.

Most of the substantive obligations take effect on November 1, 2026. Taken together, these obligations require a coordinated response across several functions. The practical consequence is that readiness cannot be achieved by any single function acting alone, and it needs to be substantially in place before November 1, 2026, well ahead of the first gender pay gap filing deadline in June 2027, since the burden of proof, uncapped compensation and new dispute routes are all live from that earlier date.

 

Key obligations at a glance

1. Pay transparency in recruitment

Effective: November 1st, 2026
Applies to: All employers, regardless of size; no headcount threshold.

  • Candidates must receive information on the initial pay or pay range for a position, based on objective and gender-neutral criteria, in interviews or elsewhere in the hiring process. 
  • Employers are also prohibited from asking candidates about their previous or current salary history.
  • Job titles and postings must be gender-neutral.

  • Recruiters need a defensible pay range for every open role before advertising or interviewing begins.
  • Interview guides, application forms and applicant tracking systems need the salary-history question removed.
  • Job titles and job advertisements shall be revisited to remove gendered terms.

2. Transparent pay-setting and career progression

Effective: November 1st, 2026
Applies to: All employers, regardless of size. Employers with fewer than 50 employees are exempt from the pay-progression disclosure limb.

  • Employers need objective, gender-neutral criteria for determining pay levels and, where applicable, pay progression. 
  • These criteria should be documented and accessible to employees.

  • Existing pay bands and manager discretion over increases need to be re-assessed and based on documented criteria.
  • The criteria themselves (not just the resulting pay figures) must be written down, kept current and made accessible to employees.
  • Job cluster and levels need to be defined consistently enough to support "equal value" comparisons across different roles.

3. Employee right to information

Effective: November 1st, 2026
Applies to: All employers, regardless of size; no headcount threshold.

  • Employees will have the right to request information regarding their individual pay and average pay levels, broken down by gender, for comparable categories of employees performing the same work or work of equal value.
  •  Employers shall reply to the employees within 2 months from the date the request was received.
  • Confidentiality clauses that prevent staff from discussing their own pay for equal-pay purposes are no longer enforceable.

  • A standard, repeatable process for handling and documenting these requests within the statutory window shall be established.
  • Contract templates and staff handbooks containing pay-secrecy clauses need review.
  • Line managers should expect more direct pay-related questions from employees and need guidance on how to respond appropriately.

4. Gender Pay Gap Reporting

Effective: First report due June 7th, 2027 (≥150 employees) or June 7th, 2031 (100–149 employees)
Applies to: Mandatory for employers with 100+ employees – see table below

  • Eligible employers are required to calculate and report defined gender pay-gap metrics.

Reporting requirements and frequency have been set as below: 

Reporting requirements

Employer size Reporting frequency First report due
≥ 250 employees
Annually
7 June 2027, then every year
100–149 employees
Every 3 years
7 June 2031, then every 3 years
  150–249 employees  
  Every 3 years  
  7 June 2027, then every 3 years  
  < 100 employees        
  Voluntary, every 3 years  
  Optional — same cycle as the 100–149 band  

 

  • This is a new, recurring compliance deliverable; data infrastructure needs to support it on an ongoing basis.
  • Payroll, HR Information System and organizational data (gender, category, base and variable pay) need to be available and reconcilable before the relevant filing date.
  • Reported figures are shared with the Ombudsman and may be published on a public comparison platform, adding a reputational dimension to data quality.

5. Action on unexplained pay gaps

Effective: November 1st, 2026
Applies to: In practice, employers with 100+ employees; a smaller employer that reports voluntarily could also be captured.

  • Where a significant gender pay gap is identified (a 5% threshold has been set) within an employee category and cannot be objectively justified by gender-neutral factors, employers may be required to undertake a joint pay assessment and take corrective action.

  • A gap that would previously have been an internal data point now carries a statutory consequence and a fixed remediation timeline.
  • Employers need a pre-agreed process for engaging employee representatives on pay matters.
  • Root-cause analysis is required, since the correction must be defensible on objective, gender-neutral grounds.

Significant note!

  • Reversed burden of proof: Once an employee presents facts suggesting pay discrimination, the burden shifts to the employer to prove the pay difference is objectively justified. 
  • Uncapped compensation and extended limitation periods: Compensation for an equal-pay breach is uncapped and covers back pay, bonuses, interest and lost career opportunity. The limitation period for a claim runs not from the pay decision itself but from when the employee became aware, or could reasonably have become aware, of the breach.

Documentation of pay-setting criteria becomes a legal defence. The financial exposure of an unresolved pay gap has increased materially, with no statutory ceiling on damages.

 

The timeline at a glance

Timeline Details
May 2023
EU Directive 2023/970 Adopted
July 2026
Law 5136/2026 published in Government Gazette
November 2026
First obligations come into force
June 2027
First gender pay gap report due for employers with >= 150 employees
January 2028
ELSTAT first transmits national pay-gap to Eurostat
June 2031
First gender pay gap report due for employers with 100-149 employees

 

Why should Organizations act now? 

Pay transparency can create challenges across multiple dimensions of the organization.

Regulatory & Legal Risk

Failure to comply with transparency and equal-pay requirements may expose organizations to legal claims, enforcement action and financial consequences.

Remuneration Risk

Inconsistent or insufficiently documented pay-setting practices may make it difficult to demonstrate that pay differences are objectively justified.

Data & Technology Risk

Organizations may not currently have the data quality, systems or analytical capabilities required to produce accurate pay-gap analysis and respond to employee information requests.

HR & Operating Model Risk

Existing job architecture and employee classification may not adequately support the identification of employees performing the same work or work of equal value.

Employee & Reputation Risk

Increased transparency may lead to greater employee awareness of remuneration differences and potentially increase workforce expectations and employee relations risks.

 

Our approach

We support companies across the full implementation lifecycle, from initial diagnostic and readiness assessment through to ongoing monitoring and reporting. Our team, comprising experts across multiple areas of expertise, works in close collaboration and coordination with your organization's different departments to help you navigate and comply with the new legal requirements. We scale and tailor our approach to your organization's specific starting point, ensuring you receive exactly the support you need.

  • Assess your current pay-setting practices, job architecture, contracts and recruitment process against the requirements of Law 5316/2026
  • Quantify your existing gender pay gap, by category and pay quartile. 
  • Identify legal and organizational gap assessment against the law's requirements

The output is a clear picture of where your exposure lies before the law takes effect. 

  • Job cluster and level design, role classification
  • Objective, gender-neutral evaluation criteria and weighting
  • Documented, defensible pay grids and progression criteria

The output is a documented, defensible pay architecture that supports the "equal value" comparisons the law requires.

  • HR Information System /payroll data readiness and remediation
  • Gender pay gap calculation and preparation of the statutory report
  • Independent assurance over reported pay-gap figures, where required or desired
  • Alignment of figures with CSRD/ESRS workforce disclosures

Our approach can support your organization with data readiness and recurring gender pay gap report.

  • Design of the employee information-request workflow and response templates
  • Training for HR, recruiters, people managers and social dialogue advisory
  • GDPR advisory on contract terms, data protection impact assessment for pay-transparency data flows, retention design for HR, legal and works-council access to pay data
  • Ongoing governance and pay-equity monitoring (e.g. re-testing pay gaps periodically, reviewing new hires and promotions against the pay architecture, updating the job/worker-category structure)

Our approach can support your organization embedding the new obligations into day-to-day practice, from pay-information request workflows and manager training to GDPR compliance of contracts and pay data used and ongoing governance.