Implementation timeline and scope
The Directive is considered EEA-relevant and is expected to be implemented into Norwegian law by 7 June 2026. Reporting obligations will be introduced gradually:
- Employers with 250 or more employees must report annually from 7 June 2027.
- Employers with 150–249 employees must report every three years, also from 2027.
- Employers with 100–149 employees must submit their first report in 2031, with subsequent reports required every three years.
The Directive allows Member States to go beyond these minimum requirements. This means Norwegian authorities may decide to extend reporting duties to employers with fewer than 100 employees – for instance, down to 50 employees, in line with the current activity and reporting duty (ARP) under the Equality and Anti-Discrimination Act.
Comparison with current Norwegian law requirements
Many Norwegian employers are already subject to the Activity and Reporting Duty (Norw: aktivitets- og redegjørelsesplikt, abbr.: ARP) under the Equality and Anti-Discrimination Act, which requires both public and private employers with more than 50 employees to actively promote equality and to report on these efforts in their annual reports. Unlike the Directive, the ARP covers several grounds of discrimination beyond gender. However, the ARP does not impose equally detailed requirements for transparency and reporting. Employers should therefore expect more comprehensive processes relating to pay reviews, employee access to information, and reporting.
Key changes employers must prepare for
The Directive introduces new obligations and strengthens several existing requirements under Norwegian law, including:
- Pay transparency in recruitment: Employers must disclose starting salaries or pay ranges in job postings and may no longer ask candidates about current or previous salary. The statement “Salary to be agreed” will no longer be sufficient.
- Employee access to pay transparency: Employees will have the right to request information about their own pay and the average pay levels, broken down by gender, for work of equal value. This extends current Norwegian rights, where employees must suspect discrimination before they can request pay information. Employers must also proactively provide information on pay-setting criteria and pay progression. To comply, employers will need to systematically define what constitutes equal work and work of equal value across the organisation.
- Reporting and pay audits: Employers with 100 employees or more will be required to regularly submit pay gap statistics directly to public authorities, with parts of this information made publicly available. For companies with more than 250 employees, the reporting requirements are stricter and must cover additional forms of remuneration. If reporting reveals a pay gap of more than 5% that cannot be explained by objective, gender-neutral criteria, the employer may be required to conduct a detailed pay audit and prepare an action plan in cooperation with employee representatives.
Sanctions and enforcement
The Directive requires Member States to impose effective sanctions for non-compliance. These may include fines, liability for compensation, and exclusion from public procurement processes. Employees subjected to discrimination will be entitled to compensation, including back pay and damages for non-economic loss. The burden of proof will also shift: if pay gaps are revealed, it will be the employer’s responsibility to prove that the differences are justified and based on gender-neutral, objective factors.
What should employers do now?
Although the rules will not take effect until 2026 (with reporting obligations beginning in 2027), we recommend that employers begin preparations now:
- Review current practices for pay setting and employee access to pay information – do they align with the upcoming requirements?
- Evaluate recruitment processes – how will pay ranges be communicated, and how will interviews be conducted to ensure compliance?
- Update employee handbooks and internal policies with the new rights and procedures.
- Prepare for new reporting routines – particularly if the organisation has more than 100 employees. Consider how data will be collected, analysed, and quality assured.
- Involve HR and employee representatives early – both to ensure ownership of the process and to be well prepared if significant pay gaps are identified.
Conclusion
The Directive will require adjustments for many employers, especially those without systematic processes for pay setting and documentation. At the same time, it also offers an opportunity: greater transparency can build trust, reduce conflict, and make your business more attractive.
