Observatory

Pay transparency: the changes introduced by Legislative Decree No. 96/2026

17 June 2026

With the publication in the Official Gazette, on 1 June 2026, of Legislative Decree No. 96 of 7 May 2026, the Italian legislature implemented Directive (EU) 2023/970, strengthening the principle of equal pay between male and female workers.

This objective is pursued through the introduction of a series of information obligations, monitoring tools and protection mechanisms intended to affect the ways in which remuneration is determined, communicated and, where necessary, justified by employers.

Collective bargaining and presumption of compliance

One of the most significant aspects of the decree is undoubtedly the enhancement of collective bargaining. Article 4 of Legislative Decree No. 96/2026 provides that the application of a national collective bargaining agreement entered into by trade union organisations that are comparatively more representative at national level, including the relevant occupational classification, grading and pay systems, constitutes a presumption of compliance with the principles of equal pay and transparency.

From this perspective, the decree identifies the national collective bargaining agreements signed by the comparatively most representative trade union organisations as a central reference point for the construction and verification of remuneration structures, without prejudice to the possibility of demonstrating, even in this context, the possible existence of discriminatory individual pay treatment.

Pay transparency before hiring

The decree also introduces specific obligations in the phase preceding hiring. Pursuant to Article 5, candidates must be provided with information on the starting pay or the relevant pay range applicable to the position, as well as the relevant provisions of the applicable collective bargaining agreement, and such information must already be provided in the notices or announcements through which the job opportunity is brought to the attention of interested parties. This provision is also accompanied by the prohibition, imposed on the employer, on asking candidates for information on the remuneration received in current or previous employment relationships.

Finally, the same provision requires that selection procedures be conducted in a non-discriminatory manner and that notices and announcements be drafted according to gender-neutral criteria, including with regard to the professional titles required.

Transparency of remuneration and economic progression criteria

With regard to the information obligations applicable during the employment relationship, Article 6 requires employers to make accessible to workers the criteria used to determine remuneration, pay levels and those established for economic progression. The decree also clarifies that the information provided when the employment relationship is established constitutes the ordinary method of fulfilling this obligation, as it is suitable to make known the grading level, starting pay, applicable collective bargaining agreement and the relevant criteria for determining remuneration.

In this respect as well, the decree gives specific relevance to national collective bargaining agreements entered into by trade union organisations that are comparatively more representative at national level. For employers applying such agreements, the transparency obligation is deemed fulfilled by referring to the criteria, grading levels and pay treatment provided for by the applicable national collective bargaining agreement, as well as any company-level agreements entered into pursuant to Article 51 of Legislative Decree No. 81/2015.

However, the legislature introduced a partial exclusion on this point: employers with fewer than fifty employees are not required to make available the criteria for economic progression, while the obligation to make accessible the criteria for determining remuneration and pay levels remains unaffected.

Workers’ right to information

Of particular importance within the framework of the decree is the right to information granted to workers by Article 7. The provision states that workers may request and receive in writing, within two months of the request, information on average pay levels, broken down by sex, relating to categories of workers performing the same work or work of equal value. The request may be submitted directly by the worker or, on the basis of a specific authorisation, through workers’ representatives or equality bodies, it being understood that this right may be exercised no more than once a year.

The rule also specifies that the employer may fulfil this obligation by publishing the information on the company intranet or in the restricted area of the company website. The decree also provides that all workers must be informed annually of the existence of this right and of the procedures for exercising it. If the information received is inaccurate or incomplete, the worker may request further clarification, to which the employer must provide a reasoned response.

Finally, the provision establishes that workers may not be prevented from disclosing their remuneration and prohibits contractual clauses that restrict this right.

Reporting the pay gap and joint pay assessment

Article 9 provides, for employers with at least 100 employees, for the obligation to report to the monitoring body established at the Ministry of Labour and Social Policies a set of data on the gender pay gap. The information to be reported includes, in particular, the average and median gender pay gap, the gender pay gap in complementary or variable components, the percentage of female and male workers receiving such components, as well as the percentage of women and men placed in each pay quartile.

In terms of timing, the decree provides for a gradual implementation of these reporting obligations. Specifically, for employers with at least 250 employees, the first data collection must be carried out by 7 June 2027 and must then be repeated annually. For employers employing between 150 and 249 employees, the first survey is likewise set for 7 June 2027 and must subsequently be carried out every three years. For employers employing between 100 and 149 employees, however, the first fulfilment is scheduled by 7 June 2031 and, in this case too, must then be performed every three years.

Article 10 of the decree falls within this context and governs the joint pay assessment, i.e. the procedure that the employer is required to carry out with workers’ representatives when the data reported pursuant to Article 9 reveal pay differences requiring an in-depth analysis process.

The obligation arises when, in any category of workers, there is a difference in the average pay level between female and male workers of at least 5%, where such difference is not justified by objective and gender-neutral criteria and is not corrected by the employer within six months of the reporting of the pay information.

Where these conditions are met, the joint assessment is aimed at identifying the causes of unjustified pay differences, as well as defining, within a reasonable timeframe, the measures necessary to remove them and prevent their recurrence.

Discover the HR solutions
designed for you