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Italy is set to implement new pay transparency regulations on June 7, marking a significant step toward reducing the gender pay gap and strengthening the principle of equal pay for work of equal value. The measures, introduced through Legislative Decree No. 96 of May 7, 2026, transpose the European Union’s Pay Transparency Directive (2023/970) into Italian law and apply to both public and private sector employers. One of the most notable changes affects the recruitment process. Employers will now be required to disclose salary levels or pay ranges in job advertisements or before the first interview. They will also be prohibited from asking candidates about their current or previous salaries, a practice critics argue can perpetuate wage inequalities throughout a worker’s career. Employees already in the workforce will gain new rights to information. Workers may request details about their individual pay levels as well as average salaries, broken down by gender, for colleagues performing the same or equivalent work. Companies will also be required to make transparent the criteria used to determine compensation and career progression. Organizations with more than 100 employees will face additional reporting obligations. If pay gap data reveal a disparity of more than 5 percent between comparable categories of workers that cannot be justified by objective, gender-neutral factors, employers will be required to carry out a joint pay assessment with employee representatives and take corrective action. The legislation also shifts the burden of proof in discrimination cases. Employers, rather than employees, will be required to demonstrate that pay differences are based on objective criteria such as skills, responsibilities or working conditions, rather than gender. Supporters view the reform as an important step toward workplace equality, while some labor unions argue that stronger enforcement mechanisms and sanctions are still needed to fully address persistent pay disparities.
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