Have you heard about pay transparency? It’s the idea that companies should be open with employees and applicants about pay and, more broadly, what factors they include when making decisions about compensation.
It’s no secret that expectations around pay have changed, and employers need to pay attention. People on the lookout for a new opportunity want to see pay ranges on job postings, and some of them make it a practice not to apply if that information isn’t immediately available. Employees want more clarity about their own pay and how it stacks up relative to their peers, and in a tight labor market, they may hit the road or expend less effort at work if they don’t feel they’re paid fairly.
But pay transparency isn’t just about what current and would-be employees want. Their expectations have now made their way into state and local law.
