SD Worx research finds a quarter of employees in Ireland are paid unfairly at work

SD Worx Ireland, a leading payroll and HR solutions provider, has announced the results of new research which found that almost a quarter (22%) of employees in Ireland believe that their pay does not fairly reflect the work that they do. However, a far lower proportion (11%) of employers admit that they do not adequately compensate employees.

Independent research from SD Worx, carried out by iVOX, surveyed 1,000 employees and 301 employers in Ireland as the deadline to transpose the EU Pay Transparency Directive into Irish law approaches on 7th June 2026. Under the new rules, employers will be required to adopt much stricter pay transparency, equal pay, and reporting practices. However, the Government has confirmed that Ireland will not meet this deadline to pass the Directive into national law.

SD Worx’s research shows that as the Directive approaches, some employers still have work to do; 24% of employees say they received a promotion without a pay increase last year. Meanwhile, employees admit that they can struggle to speak up about their entitlements. Less than half (45%) of workers feel comfortable discussing, or asking for, a pay increase. Of these, women (37%) are less likely thanmen (52%) to feel comfortable requesting a pay rise.

The study found that, in many cases, employees do not know what their payment rights are and nearly a third (30%) are unaware of the EU Pay Transparency Directive or what it means for their rights. However, the majority of organisations in Ireland report that they are ready for its introduction. Some 68% say they have everything in place to comply with the new Directive, suggesting a lack of communication with their employees.

As they prepare for the Directive, 69% of employers in Ireland – the highest proportion in Europe – say they are investing in greater pay transparency and 58% regularly review pay data to identify and address potential pay gaps. Nearly a quarter (23%) rank pay transparency initiatives such as pay gap analysis, clear payslips, and gaining employee insights among their top priorities for 2026.

Many organisations are already making headway, with 24% of employers saying they currently offer pay transparency information such as pay ranges and salary bands to employees. Even so, one-in-10 Irish employees do not expect their organisation’s pay transparency to improve in the coming years and 28% believe that there is a gender pay gap in their organisation.

Eimear Byrne, Managing Director, SD Worx Ireland, said: “It’s clear from our research that many employees in Ireland feel undervalued for the work that they put in, but are afraid to ask for what they are entitled to. The rollout of the EU Pay Transparency Directive should support employees in this regard by making conversations about pay increases easier, due to more transparent pay ranges. It’s vital that workers feel encouraged and adequately recognised and rewarded in order to build a workforce that’s motivated, productive, and engaged.

“Not only this, but it will enable businesses to remain competitive in a crowded jobs market. Pay equity and transparency are playing an increasingly important role in attracting and retaining talent and, indeed, 73% of employees cited pay transparency as an important part of their decision to stay with or join an organisation.

“Meanwhile, pay appears high on the agenda for employers too. Though Ireland will not meet the deadline to transpose the upcoming Directive into law, encouragingly, that hasn’t stopped businesses from putting measures and processes in place to adhere to the new rules. However, it’s concerning that a large proportion of employees do not know how the Directive will affect them, and communication from employers will be key to ensuring clarity and openness when it comes to payment rights.”

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