"Less than 40% of employees received a bonus last year, down from 44% in 2021. And in 2024, the average bonus payout was $1,786, down from $1,857 a year earlier, according to the study. That's not the only pay-related trend to watch in 2026. Pay transparency will also be a hot topic this year, said ADP Chief Talent Officer Jay Caldwell. In June, counties in the European Union will be required to comply with new pay transparency laws, mandating salary disclosures in job advertisements (much like many U.S. states)."
"If large employers find a gender pay gap of 5% or more, they will be required to conduct an audit to fix the disparity. Caldwell predicts 2026 will bring increased investments in the HR compliance space. HR leaders should make sure they have the "right automation in place" to help them more easily adhere to these new laws, he says."
Bonus prevalence and average payouts have declined since 2021: under 40% of employees received a bonus last year, down from 44% in 2021, and the average bonus fell to $1,786 in 2024 from $1,857 a year earlier. Pay transparency requirements will expand in 2026, with new EU rules in June mandating salary disclosures in job advertisements and triggering audits when large employers show gender pay gaps of 5% or more. Employers should invest in HR compliance, automation, and disciplined multi-jurisdictional management as organizations become more global and dispersed. Workplace policies and return-to-office tactics are also evolving.
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