Extract from the report:" Implementing Equality: Delivering Pay Transparency for Professionals and Managers”(2024)–The case of Hungary

Summary

The research paper by V. Maglietta, titled "Implementing Equality: Delivering Pay Transparency for Professionals and Managers (2024)–The case of Hungary," focuses on Hungary's imperative to align its national legislation with the EU Pay Transparency Directive (Directive (EU) 2023/970). The paper critically assesses the current state of pay transparency within Hungary, particularly for professionals and managers, highlighting the notable absence of comprehensive measures that would facilitate equal pay for equal work. The EU Directive, adopted in 2023, mandates that all Member States, including Hungary, transpose its provisions into national law by June 7, 2026, with the overarching goal of reducing the persistent gender pay gap across Europe. The methodology inferred from the abstract suggests a comparative analysis between Hungary's existing legal framework concerning remuneration and the stringent requirements outlined in the EU Pay Transparency Directive. The paper likely identifies specific discrepancies and legislative gaps, such as the absence of mandatory salary range disclosures in job advertisements, a ban on asking candidates about previous salary history, and the lack of robust employee rights to request pay information, all of which are central tenets of the Directive. Furthermore, it probably investigates the practical implications for Hungarian employers who, as of May 2026, have not yet seen the final national transposition law, though the expected regulatory direction is apparent. The findings of the paper indicate that Hungary's current labor laws, despite containing the principle of equal pay, do not require structured gender pay reporting, transparent salary ranges in job postings, or detailed pay transparency rights for employees, thereby creating a significant challenge for compliance. The implications are clear: Hungary must undertake substantial legislative and practical reforms to ensure the correct transposition and effective implementation of the EU Directive. This will necessitate changes in recruitment practices, the establishment of transparent internal pay structures, and the introduction of mandatory gender pay gap reporting for companies above certain employee thresholds. Successfully implementing these measures is crucial for Hungary to foster greater pay equity, strengthen the principle of equal pay for equal work, and build trust within its workforce by making pay decisions more understandable and fair.