CXR Recommends: Should Pay Transparency Be Mandatory?

Exploring arguments for and against pay transparency

As pay transparency legislation begins to take hold in several US states (see: New York City, Colorado, and California, to name a few), many organizations are still looking for ways to avoid complying with the laws. Seems like putting one’s finger in the dyke to try and stop a flood… but I digress.

Aside from their reluctance to change, why are businesses avoiding the pay transparency issue? A recent article from Grapevine Leaders cites a few reasons, including concerns for confidentiality within the workplace and increased difficulty in recruiting talent.

The latter reason doesn’t appear to be grounded in the reality of today’s hiring market. By and large, job seekers are in favor of salary transparency. A LinkedIn poll conducted by HR Grapevine found that 87% of the 3,300 respondents believe that job advertisements should include salary information.

Pay transparency is quite simply the right thing to do. Beyond attracting talent, salary transparency can support employee engagement and work to eliminate the gender pay gap. And it’s time to go beyond job advertisements and extend salary transparency within your organization. It’s an issue we are paying close attention to and exploring in different ways this year.

To dive deeper into the topic of transparency in recruiting, check out our recent member & alumni discussion on pay transparency and read the full source article here.

Gerry Crispin

Gerry Crispin

Gerry co-authored eight books on the evolution of staffing and has written 100s of articles and whitepapers on similar topics during a career in Human Resources that spans more than 40 years from HR leadership positions at Johnson and Johnson; to boutique Executive Search firms; a Career Services Director at the University where he received his Engineering and 2 advanced degrees in Organizational/Industrial Behavior; and, GM of a major recruitment advertising firm even as he launched CareerXroads 25 years ago.

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