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🇪🇪 Estonia

Estonia: EU Pay Transparency Directive legislation at a glance

Estonia has partially implemented the EU Pay Transparency Directive under a unique split strategy. Legislation covering the pay transparency components of the EUPTD took effect on July 13th, 2026. The Estonian government has been seeking to postpone Legislation regarding pay gap reporting, pay structures, and employees’ right to information.

Map of Estonia.

Transposition

At a glance

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Effective date

July 13th, 2026 for certain pay transparency regulations; legislation on pay gap reporting, pay structures, and employees’ right to information has yet to be issued.

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Size of companies impacted

All employers are subject to pay transparency requirements.

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Pay transparency provisions for job applicants

Before the first formal interview (typically but not necessarily in the job posting), employers must provide applicants with information about the expected salary or salary range, plus information about any collective-agreement terms that affect the salary.

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Defining categories of workers and work of equal value

Specific legislation about worker categories has yet to be developed; the EU Pay Transparency Directive specifies that work of equal value should be determined based on the skills, effort, responsibilities, and working conditions involved in each role.

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Right to information

Pending, but expected to align with EUPTD minimum expectation that employees must be annually informed of their rights and employers must respond within 2 months.

Transparency in small groups

Pending.

Remediation & joint pay assessments

Pending, but expected to align with EUPTD minimum expectation that employers must remediate gaps of 5% or more within 6 months of reporting date or a joint pay assessment must be conducted.

Legal Interpretation

How legislation in Estonia interprets the EU Directive’s requirements

While many EU member states transposed the EU Directive as a single regulatory package, Estonia is implementing a unique split strategy. Certain pay transparency provisions took effect on July 13th, 2026, based on amendments to the nation’s Employment Contracts Act (Töölepingu seadus - TLS, or 837 SE). Separate legislation is expected to complete the EUPTD transposition.

The currently effective legislation addresses key aspects of the EUPTD with regard to transparency and recruitment, staying close to the baseline of the Directive’s requirements and to most other member states.

As mentioned above, employers must provide salary or salary range information, as well as information about applicable collective agreements, to prospective employees prior to the first formal interview. 

  • Pay history ban: Employers cannot ask prospective employees about their current or past compensation.
  • Pay secrecy ban: Employers cannot prohibit employees from discussing or disclosing pay. This legislation voids any historical or template pay secrecy clauses in employees’ contracts.
  • The legislation establishes the requirement for equal pay for equal work or work of equal value; any differences must be justified by objective, gender-neutral criteria.

Under Estonia’s split strategy, we expect the remaining legislation to track the EUPTD baseline requirements. This includes:

  • Pay structure requirements in line with the above.
  • Right to information legislation, likely specifying that employees must be annually informed of their rights and that employers must respond to information requests in 2 months or less.
  • Reporting requirements are expected to begin in 2028 for employers with 150+ employees.
  • Unjustified pay gaps of 5% or more will likely have a six-month window for remediation before triggering a Joint Pay Assessment.

Since Estonia has been developing its infrastructure and systems for pay data reporting, it has made some key tools available now for voluntary use. These include:

  • Palgapeegel (“Pay Mirror”), an online tool for checking an organization’s gender pay gap. This uses data that has already been reported to the state. It can be used by any organization with at least three male and three female staff.
  • The PALK Project, which offers job-evaluation methodologies and training. This may be useful in preparing compensation structures to align with future requirements. The project will be open through December 31st, 2026.

Preparation for future developments in Estonian legislation

Palgapeegel and the PALK Project are good starting points for preparing your organization for Estonia’s transposition of the remaining EU Pay Transparency Directive requirements. And as the first reporting deadlines approach, beqom Pay Equity and Transparency platform gives you the tools you need in all EU languages. Our Compensation Assistant helps you develop a clear, fair, and efficient pay structure, while our reporting features streamline the process for your team.

Schedule a personalized demo to see how our industry-leading software solution can deliver pay equity and transparency benefits for your workplace.

Activity by member state

EU Pay Transparency Directive Transposition Tracker

EU member states are working to transpose the EU Pay Transparency Directive into national law. We’ve created this page to keep track of each member state’s progress.

Visit the EUPTD Tracker
booklet image of the EU Pay Transparency Directive 2026 eGuide

Download our EU Pay Transparency Directive 2026 eGuide

Starting June 2026, organizations across the EU must comply with sweeping new pay transparency and equity regulations. Our new and updated eGuide gives you the clarity, strategies, and tools you need to act now—before it’s too late.

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EU Pay Transparency Directive Readiness Checklist

The June 2026 transposition deadline has now passed. We’ve put together a 6-Point Readiness Checklist to help you ensure every aspect of the legislation is covered. Now’s the time to secure your organization against important fines, costly litigation, and reputational damage.

Dive into other Pay Transparency resources

Each guide, article or webinar is designed to help you navigate common pain points and complex compliance challenges with confidence. Learn from beqom’s thought leaders who distill complex topics into accessible, actionable recommendations. We provide proven frameworks and real-world examples, keeping you up to date with the latest legislation and helping you stay compliant while driving employee engagement.