Pay Transparency - Glassdoor Survey - Curo Compensation

Pay Transparency – Glassdoor Survey (April 2016)

21st April 2016

Pay Transparency is good for employee satisfaction and good for business.

Pay transparency is increasing in importance, partly driven by equal pay legislative and regulatory initiatives, but also by the changing expectations of employees who have easy-to-access pay information online.

The emerging relevance of pay transparency is highlighted in a new survey by Glassdoor, the Global Salary Transparency Survey conducted across seven countries (United States, Canada, United Kingdom, France, Germany, The Netherlands, and Switzerland).

Pay Transparency is good for employee satisfaction and good for business.

The survey revealed that the majority of employees (70 percent) believe salary transparency is good for employee satisfaction and an even greater number globally (72 percent) believe salary transparency is good for business.

Yet despite this the majority of employed adults (69 percent) wish they had a better understanding of what fair pay is for their position and skill set at their company and in their local market. More men (59 percent) than women (51 percent) believe they have a good understanding of how pay is at their company.

Although Pay Transparency is rapidly evolving most employees report their company does not share salaries internally.  The survey finds only about one-third (36%) of employees globally say their company does share information internally about how much money employees earn.

It’s important to draw a distinction here between pay transparency (fair, transparent, equitable) and knowing each other’s pay.

Most Employees Feel They Must Jump Ship to Earn a Higher Salary

More than half (56 percent) of employed adults feel they must switch companies in order to obtain any meaningful change in compensation.  When retaining key talent is a priority this has to be a concern for employers.

At Curo we believe pay transparency and fairness to be one of the critical success factors to delivering effective reward. Employees need to be confident that they are in a fair pay review process, that the process is transparent and they will be treated fairly. Ultimately employees want to know that their effort and success has been recognised and that any pay ward is commensurate with that effort relative to my peers.  This is good for morale and engagement.  To find out more read Curo’s Lead Consultant Ruth Thomas’ recent article in Personnel Today.