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Joint event on the Pay Transparency Directive

After a welcome by Alexandra Dreyer (VDMA North) and Irmgard Reinke (VDMA NRW), Andrea Veerkamp-Walz (VDMA Business Advisory) introduced the key points of the Pay Transparency Directive. In her short presentation, she explained, among other things, that the directive only defines gender as a comparative criterion and that employees will in future be entitled to information about their individual pay level and the average pay level of their peer group.

The new obligations are particularly relevant for many companies in the event of differences between the genders:
An analysis obligation applies from a difference of five percent – and the burden of proof is reversed in the event of indications of discrimination. In addition, the right to information will apply in future regardless of the size of the company. The directive therefore requires objective, gender-neutral criteria in all remuneration processes.

Practical example from Aerzener Maschinenfabrik

In the following practical presentation, Klaus-Peter Glöckner from Aerzener Maschinenfabrik reported on the company’s journey towards a transparent and systematic remuneration and job evaluation system. Aerzen began revising all job descriptions and the classification within the ERA structure back in 2019. This was followed in 2025 by a comprehensive analysis of pay structures in Germany and Europe – with a view to systematic, consistent criteria and possible deviations per job class.

A look at “real life”, as Glöckner put it, clearly showed that the biggest challenges lie in the standardization of job profiles, the structured evaluation of deviations of more than five percent and the question of how these differences can be justified or compensated for. For 2026, the company is planning to introduce a sustainable IT solution that supports documentation obligations and analyses on a permanent basis.

Current issues from the companies

The subsequent discussion confirmed that many companies are currently involved in similar processes. The focus is particularly on

  • Creating and updating job descriptions
  • Many companies are only just beginning to systematically develop or harmonize job and role descriptions.
  • Classification into performance and function groups
  • Questions regarding the evaluation of “work of equal value” and the definition of standardized criteria are of great concern to the participants.
  • Dealing with existing salary differences
  • Companies ask themselves how differences can be objectively justified, how they must be documented and what measures are required in the event of inexplicable differences.

The exchange showed a great willingness to learn from each other and develop joint approaches. Many companies welcome the new transparency, but at the same time see the considerable effort involved in structural implementation.

Conclusion

The Pay Transparency Directive presents companies with important steps towards greater fairness and transparency in remuneration. The Web-ERFA organized by ProduktionNRW and VDMA Nord provided a valuable platform for discussing legal requirements, practical experience and open questions.

Organizer

The event was offered by ProduktionNRW and the North Regional Association.
ProduktionNRW is the cluster for mechanical engineering and production technology in North Rhine-Westphalia and is organized by VDMA NRW. ProduktionNRW sees itself as a platform for networking, informing and marketing companies, institutions and networks with each other and along the value chain. Significant parts of the services provided by ProduktionNRW are funded by the Ministry of Economic Affairs, Industry, Climate Protection and Energy of the State of North Rhine-Westphalia.