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PAY TRANSPARENCY 2026

Let's clear things up – preparing for more transparent pay practices

Pay transparency 2026: what you need to know and how NEXON can help

Transparent pay, legal compliance and competitive employer operations with a single integrated HR system

Pay transparency supports transparent and objective remuneration practices that contribute to equal treatment and strengthen employee trust. As a result of the European Union’s pay transparency regulations, an increasing number of companies are reviewing their compensation processes and data. NEXON’s digital HR solutions provide support in developing pay structures, analysing data and preparing for compliance.

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What is pay transparency? 

From June 2026, pay transparency will become an unavoidable issue for workplaces across Europe, including Hungary. The European Union’s Pay Transparency Directive (EU) 2023/970 requires Member States, including Hungary, to transpose its provisions into national law by 7 June 2026.

The main objectives of pay transparency regulation

  • Reducing the gender pay gap
  • Eliminating pay discrimination
  • Establishing transparent and justifiable pay systems

Who does pay transparency apply to?

By 7 June 2027, all Hungarian companies, regardless of organisational size, will be required to prepare for the principles of pay transparency. It will be mandatory to include information on the relevant salary or pay range in every job advertisement. It cannot be ruled out that national legislation will also introduce minimum requirements for companies with fewer than 100 employees.

What deadlines should organisations be aware of? 

Compliance obligations are primarily differentiated according to the size of the organisation:

 

Pay transparency 2026

What obligations does it involve?

  • Establishing pay ranges
  • Including salary information in job advertisements
  • Conducting gender pay gap analyses
  • Reporting
  • Handling employee requests for pay information
  • Carrying out a joint pay assessment where necessary

FAQ

How should your company prepare for pay transparency?
Which areas should be reviewed in relation to pay transparency?
What digital HR solutions does NEXON offer?
How does NEXON support pay transparency?
  • Job structure
  • Pay range definition
  • Data cleansing
  • Analytics and dashboards
  • Reporting processes
  • Communication and change management

Transparent pay structure

Consistent and justifiable salary ranges must be defined for every position and made available before a job advertisement is published. Employees have the right to receive information on the average pay of employees performing the same (or work of equal value), broken down by gender.

Ban on pay secrecy

The possibility of requiring employees to keep their pay confidential is abolished. Employers may no longer prohibit employees from disclosing or discussing their pay.

Pay reporting obligations

In addition to monthly salary, reports must include all supplementary remuneration (such as bonuses), the proportion of male and female employees, and a quantified presentation of pay differences. If the gender pay gap exceeds the 5% threshold for employees performing the same work or work of equal value, employers must justify the difference and take corrective action where necessary.

Objective pay decisions

For new hires, pay decisions must be based solely on objective and verifiable criteria, such as experience, performance and level of responsibility. Employers are not permitted to ask candidates about their previous salary during the recruitment process.

Ongoing Internal Communication

Creating an organisational culture that supports transparency through continuous communication and information sharing.

Automated payroll data collection and reporting

HR automation enables organisations to generate the payroll and HR data required for reporting obligations quickly and efficiently.

HR controlling, executive decision support and HR dashboards

Drawing on more than three decades of HR expertise, NEXON has developed NEXONanalytics, a solution that provides decision-makers with HR KPIs based on industry best practices. Compensation management: the distribution of base salaries within defined salary ranges provides insight into how average base salaries are positioned across the organisation.

Flexible reporting structure

Reports can be tailored to changing legal requirements, making the solution particularly valuable for supporting pay transparency compliance.

Employee self-service HR portal

NEXON's employee and manager self-service portal enables employees to securely access their own HR information electronically and in real time, including payslips and work schedules

Secure access

Provides secure web and mobile access available 24/7, supporting remote work while ensuring a high level of data security and privacy.

Learn moreabout NEXON's next-generation digital HR solutions

eHR-System

We provide expert support for our partners

Compliance with pay transparency requirements depends on having well-structured HR data, which is virtually impossible without a digital HR environment.

NEXON's comprehensive digital HR solutions already help organisations prepare for legal compliance and create transparent compensation structures.

The system supports payroll data analysis, salary range management, gender pay gap reporting, and the development of job and compensation structures tailored to the organisation's needs.

Learn moreabout the NEXON eHR system:

eHR-system

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Customer support phone: +36 1 450 2210
Central phone: +36 1 465 5100