Current Status Overview

Finland initiated its formal process to transpose the EU Pay Transparency Directive (Directive (EU) 2023/970) with the release of a draft legislative proposal on 16 May 2025. The proposal primarily amends the existing Act on Equality between Women and Men (Tasa-arvolaki, 609/1986). Developed by a tripartite working group—comprising government representatives, employers, and unions under the Ministry of Social Affairs and Health—the draft integrates new EU transparency mandates into Finland’s established legal framework. Employers with 30 or more employees, already familiar with existing requirements for gender equality plans and pay surveys, will need to adapt their processes to accommodate these changes.

Despite the government's intention for minimal compliance, significant opposition from major employer groups signals possible future amendments. Key national provisions include defined timelines for salary disclosure to job applicants, employee rights to gender-disaggregated pay comparisons, phased pay gap reporting obligations, and a dual reporting system involving the national Incomes Register and internal employer calculations. The draft also introduces joint pay assessments triggered by pay gaps exceeding 5%, substantial fines for non-compliance, and an extended statute of limitations for pay discrimination claims.