CMS Pay Gap Compliance
Why now is the right time to make remuneration systems gender-neutral and future-proof — using CMS Pay Gap Compliance to identify and resolve unlawful disparities in pay structures.
EU Pay Transparency Directive – Mandatory for Companies from 2026
National laws implementing the EU Directive on pay transparency must come into force by 7 June 2026. From this date onwards, all private and public employers, regardless of company size, will be obliged to design their remuneration systems in such a way that there are no gender pay gaps. Employers with at least 150 employees already have reporting obligations for the year 2026, which they must fulfil by July 2027.
A factor comparison system is no longer sufficient. An analytical procedure that evaluates jobs in the company on the basis of objective and gender-neutral criteria is required.
Why act now?
Companies that prepare well in advance will have key advantages:
- Sufficient time to compile and analyse the required data
- Review of existing structures and possibility of timely adjustment
- Strengthening of their own attractiveness as an employer in the competition for the best talent
- Establishment of sustainable and competitive remuneration systems
CMS Pay Gap Compliance - Zeitstrahl
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"The requirements of the Pay Transparency Directive are complex. There is little room for manoeuvre. With our "CMS Pay Gap Compliance" tool, we provide support with its lawful implementation – in a way that is practical, efficient and transparent."
Angela Emmert - Partner, Labor, Employment & Pensions | CMS
How does the tool work?
- Platform for data collection & evaluation of jobs based on the EU Pay Transparency Directive
- Formation of comparison groups according to objective and gender-neutral criteria
- Analysis of pay gaps and determining what measures are required
- Simulation of adjustment scenarios to evaluate possible changes in remuneration structures
- Automated exports & reporting of all standardised remuneration components for information and reporting obligations under the directive
The advantages for you at a glance
- Comprehensive support in determining equal work and work of equal value in accordance with the legal requirements
- Flexible formation of peer groups – depending on the needs of your company
- Direct identification of measures required
- Automated reporting of all standardised remuneration components for information and reporting obligations
- Transparency when hiring new employees with immediate insight into salary and compensation structures
In addition, specialised legal advice and support can be provided by experienced experts if adjustments are necessary.
CMS Pay Gap Compliance
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