If you aren’t spending the time training managers on how to talk about pay with employees, you aren’t getting the maximum value out of your labor expenses.

Employees have more information than ever before. They see salary ranges within job postings from your competitors. They can look at a variety of websites and find free pay data. They talk to each other about what they are paid.

And then they ask your managers about their pay. Have you given your managers the tools and resources to talk confidently about how pay decisions are made?

Spend the time developing training materials and train your managers on how to talk about pay with their employees.

57.8% of organizations do not train managers on pay communications.
Manager training becomes more likely the larger the organization grows.
Just over 50% of large organizations (5,000+ employees) train their managers.
Only 25% of small organizations (< 100 employees) train their managers.

Training your managers so they are confident and can have these conversations with ease will build trust and increase employee engagement. And an increase in employee engagement causes the following:

Reduced employee turnover.
Improved customer satisfaction.
Easier to recruit top talent.
Employees become more productive.
Improved revenue and sales.

A 30 minute or 60 minute manager training session may be all you need to provide to create more understanding and trust in your pay programs.

#paytransparency #pay #compensation #rewards #hr #humanresources #communications

Sources: Payscale, Lattice, Capterra