Salary Transparency in Italy: How Microsoft Employers Can Prepare for New Pay Rules

About this article

This article draws on insights from the 2025 Microsoft Dynamics 365 Talent Insights Report by Montreal Associates, specialists in Microsoft recruitment across Europe and Italy.
It explores how the new EU Pay Transparency Directive (2023/970) will reshape salary disclosure and what Italian Microsoft employers can do today to get ahead.

The Coming Shift in Pay Culture

Salary transparency is no longer optional. By June 2026, Italy and other EU member states must implement the new directive requiring employers to share salary ranges or pay levels in all job advertisements.

For Microsoft partners, Dynamics 365 consultancies, and end-user organisations, this will mean a cultural and operational rethink. The Italian market has traditionally been discreet — even secretive — about compensation. But the era of vague “competitive salary” listings is closing fast.

According to Montreal Associates’ 2025 Talent Insights Report, only a minority of job ads in Italy currently include clear pay data — a gap that limits trust and weakens employer branding.

Why Transparency Matters More Than Compliance

Transparency isn’t only a legal requirement; it’s a talent-attraction strategy.
The report found that 70 % of Microsoft professionals in Italy rank salary as their top factor when evaluating new roles, while 63 % highlight flexible working as equally decisive.

Companies that publish pay ranges are perceived as fairer, more trustworthy, and more international — qualities that strongly influence Microsoft talent, especially younger candidates familiar with open-salary cultures in Northern Europe and the U.S.

Transparent pay builds confidence not just externally but internally, reducing perceptions of bias and improving retention across gender and seniority lines.

Steps Microsoft Employers Should Take Now

1. Audit and Benchmark Salaries
   Use current market data — such as the Montreal Associates Dynamics 365 Salary Guide 2025 — to define realistic pay bands by role, seniority, and region (North / Centre / South Italy).
2. Reframe Job Descriptions
   Replace generic phrases (“competitive compensation”) with factual ranges and benefit overviews. AI-driven candidates increasingly filter postings by this data; vague ads simply vanish from consideration.
3. Train Managers for Pay Conversations
   Salary transparency requires cultural fluency. Equip hiring managers to discuss compensation confidently and consistently, avoiding ad-hoc negotiations that create inequity.
4. Communicate Purpose, Not Just Pay
   Clarity around compensation must come with clarity around growth. Microsoft professionals care about culture and progression; transparency amplifies those messages when handled authentically.

The Opportunity for Early Adopters

Companies that adapt before the 2026 deadline will enjoy a reputational edge.
By openly publishing salary structures and benefits, Microsoft employers in Italy can position themselves as leaders in fairness, inclusion, and trust — values that candidates increasingly weigh when choosing employers.

As Montreal Associates’ report notes, transparency doesn’t weaken negotiation power — it strengthens credibility.

Key Takeaway

The EU Pay Transparency Directive is transforming hiring across Italy’s Microsoft ecosystem. Employers who act now — auditing, aligning, and communicating pay ranges — will win talent before compliance becomes mandatory.

Partner with our Microsoft recruitment specialists in Italy to benchmark your salaries and hiring strategy against the market.

With dedicated consultants covering the Dynamics 365 and Power Platform ecosystem, Montreal Associates provides tailored recruitment strategies and salary insights shaped by daily conversations with top Microsoft professionals.

Connect with our Italian Microsoft team to ensure your compensation structures are as transparent and competitive as the market demands.