What’s Changing?
The PTD introduces several pivotal reforms, including:
- Pay transparency before hiring: Employers must disclose salary ranges upfront.
- Ban on pay secrecy and history inquiries: Conversations about prior compensation are off the table.
- Gender-neutral pay and progression policies: Pay-setting criteria must be standardized and accessible.
- Mandatory gender pay gap (GPG) reporting: Deeply granular and broad, far beyond current UK reporting standards.
- Joint Pay Assessments: Triggered when a 5%+ gender pay gap is found and not objectively justified.
The scope is extensive – pay is broadly defined, including salary, bonuses, allowances, pensions, and even compensation related to training and dismissal.
Birlasoft’s Perspective: Turning Regulation into a Transformation Catalyst
For many organizations, meeting the PTD’s obligations will require new systems, processes, and capabilities, especially in pay data aggregation, job classification, and audit readiness. The complexity is heightened for multinationals juggling different national implementations across the EU.
But this isn’t just a compliance mandate. It’s a strategic opportunity to modernize HR, strengthen employer branding, and enhance employee trust – if managed with the right technology and partners.
At Birlasoft, we see the PTD as a regulatory hurdle and a catalyst for digital HR transformation. With deep domain expertise in Oracle HCM Cloud and cross-industry HR implementations, we help organizations:
