What exactly is pay transparency?
It seems everyone has an expectation of pay transparency but that understanding differs when you probe further. I’ve come across many different types of transparency involved in pay decisions and pay structures and sought to capture them here with the scale.
In particular, any scale will need to include:
Ironically, full transparency fills most employees with dread. Evidence shows that the majority of employees are uncomfortable with full disclosure of their pay. However, they are most keen to know where their income is relative to their peers and what they can do to improve their remuneration.
The new EU rules on transparency will sit at level 5 on the scale.
We specialise in pay transparency and pay equity. We work with clients to help them prepare for the new rules and to optimise their employee experience through compensation. Get in touch if you would like to know more.?
Thanks, Rachel for sharing your scale with us! In my opinion, the lack of a properly developed and commonly accepted scale to assess and measure pay transparency/secrecy is a big problem both for science and practice. When looking at your scale, I was wondering why you included the development of pay structures in the transparency scale. I fully agree that having a well-developed structure is an important factor for fair payment. However, in my opinion, it is not necessarily linked to pay transparency. An organisation can be fully transparent by publishing every member's compensation without having a pay structure. At the same time, another organisation might have an elaborate structure without communicating the members' position in the structure or range. So for me, these are two different constructs that should be assessed independently. At the same time, there is some research indicating that distributive and procedural transparency are two dimensions of the transparency scale. Happy to discuss this in further detail.
human @CoachRaf.com | grief explorer| doctoral student - Project VelvetGladiators.com
1 年Thanks Rachel for shedding some light on that topic. I find it very interesting!