Austria requires companies to disclose the average salaries among colleagues
Austria is preparing to implement a new law by June 7, 2026, which mandates wage transparency in the workplace, in accordance with a European directive aimed at ending salary secrecy and enabling employees to know the average wages of equal or equivalent jobs.
Under the upcoming law, workers will be able for the first time to inquire about wage levels within their companies, including comparing income among employees holding similar positions in terms of responsibilities and qualifications. This step is part of a broader effort to address the wage gap between women and men and to ensure the principle of equal pay for equal work.
Labor Minister Corina Schumann said that the implementation of the European directive means establishing clearer and fairer rules in the labor market, explaining that transparency will allow for the disclosure of unjustified wage disparities and provide employees with a legal tool to know whether they are receiving fair pay compared to their colleagues. She emphasized that the law is not intended to provoke disputes within companies, but to create a work environment based on clarity and trust.
The minister added that one of the main objectives of the legislation is to reduce the existing wage gap between women and men, which still persists despite current laws. She pointed out that the lack of transparency has been a major reason for the continuation of this gap, as it makes it difficult for those affected to claim their rights without a clear understanding of the salary structure within the organization.
According to the directive, companies will be required to provide information about the average wages for equivalent jobs, without disclosing individual personal data, achieving a balance between transparency and privacy protection. The law is also expected to impose additional obligations on employers regarding wage documentation and justifying any differences based on objective grounds.
This step is part of a broader European trend to promote social justice and equality in the labor market, at a time when public and union demands to reduce income disparities and ensure equal opportunities are increasing. The law is expected to come into effect from mid-2026, after completing the necessary legislative and regulatory procedures within Austria.