With more employers publishing their salary ranges on job postings, employees have more information on what competitive pay rates are.
Employees are asking more questions about their pay. They are asking for increases if they feel they are underpaid.
You are spending more time on pay related communications and training. Some of you are being more proactive instead of reactive.
I predict that as more U.S. states and non-U.S. countries have laws requiring pay disclosure there will be a trend toward less complex pay policies and guidelines. With the need for more pay transparency, the overly complicated pay structures and decision-making processes some employers have will be changed.
For instance, geographic differential-based pay structures will become simpler. Instead of 5% increments employers will consider using 10% or higher increments. There will be fewer pay grade structures overall with a trend toward broader ranges.
Employers will need to educate employees and set realistic expectations within the context of the economy and business priorities.
This will not be a once-a-year communication. It will be necessary to have an annual compensation/pay related communications calendar and resources devoted to implementing these planned communications. Consistent key messages that are repeated will be what is most effective.
What are your predictions given the continued focus on pay transparency?
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