Today’s workplace is much different than just a few years ago, and continues to evolve. For employees, navigating these changes has led to shifting sentiments around job satisfaction. However, salary and compensation remain a priority.
Recently, we surveyed over 1,900 U.S. workers and found that the majority (67%) view these two factors as most important when it comes to their satisfaction at work. While this isn’t surprising given the current economy and the rising cost of living, a closer look at the results revealed another insight: the desire for pay transparency.
As dynamics between employers and their employees continue to change, more workers aren’t shy about asking for what they want. Exploring more about their interest in pay transparency can help you better navigate today’s job market.
workers want transparency — but they may not get it
Overall, pay transparency is extremely important to the vast majority of workers. According to our survey, 80 percent of respondents want to know what they’ll make when applying for or accepting a job offer.
However, companies that list salaries in their job description are still a mixed bag.
While a clear majority want this information, just half (49%) of respondents said their companies currently provide it. What’s more, most people we surveyed are more likely to apply for a job where the salary or salary range is made public. These numbers indicate that a discrepancy in pay transparency may cost you talent.
younger workers are more vocal
The future of the workforce is the most concerned about salary disclosure. Over 80 percent of respondents aged 18-24 are more likely to apply for a position with a salary or salary range listed in the description, up from just over half (56.4%) for those aged 55-65.
Interestingly, the same age group did find the salary range listed when they applied for their current job (70%), followed by Millennials and Gen X, showing an employer trend toward transparency, particularly when it comes to younger workers.
Younger workers are also most comfortable sharing their compensation with their colleagues. Overall, just 38 percent of respondents discuss salary with their coworkers, and only 23 percent in the oldest age group do. However, over half (58%) of Gen Z respondents report doing so.
Yet despite general sentiment about discussing pay, 68 percent of workers would request a raise if they knew their co-workers with the same role were making more than them. As time goes on, this trend may continue to impact your bottom line.
gender plays a role
Age isn’t the only thing that impacts attitudes around pay transparency. Gender also factors into both employee sentiment as well as their view of company policies.
For example, our survey revealed that male employees are more likely than their female colleagues to discuss their compensation with others. Tangentially, males more often reported their salary or salary range listed when they applied for their current position (61.5% v 51.5%).
What’s more, 55 percent of male respondents say their company currently lists salaries in its job descriptions. However, only 43 percent of women say the same.
With today’s evolving job market and an uncertain economy, money is naturally on the minds of the U.S. workforce. Revisit your company’s policies around pay transparency to help attract and keep great talent.