Do employers have to pay employees the same amount for doing the same job?
No, employers can pay employees differently if they are doing the same job or a job that is substantially similar.
Employers do need to pay employees using the same factors in their decision-making process. And those factors need to be consistently applied from one employee to another.
For instance, if an employer considers performance, tenure, geographic location, years of relevant experience, and/or training/education when making a pay decision, that is okay. And as those factors vary across employees so can their pay.
In other words, employers should be able to say to any employee, “Here is the salary range associated with your job. Here is where you are paid in the range. And here is why.”
If they can’t do that, there is a problem.
Often, it is answering “why” that causes employers to be hesitant to be transparent if they have not been logical, rational, fair, and consistent in their decision making.
And some employers don’t have competitive pay ranges associated with each job and consistent incentives.
If you are an employee and want to talk to your manager about your pay, let’s talk.
If you are an employer struggling with pay transparency and want a better pay decision making process, let’s talk.
#payequity #paytransparency #compensation #rewards #hr #humanresources #jobarchitecture