pay transparency

Intermediate 👥 Human Resources

Definition

The practice of openly sharing salary ranges, compensation formulas, or actual employee pay—radical honesty that supposedly reduces wage gaps but makes everyone uncomfortable at company parties.

Example Usage

After implementing pay transparency, the company posted salary ranges on all job descriptions and published their compensation formula internally.

Origin

Movement gained momentum in 2010s as part of pay equity initiatives and workplace culture shifts

Fun Fact

Several states including California, Colorado, and New York now legally require salary ranges in job postings, turning pay transparency from progressive policy to legal compliance.

Source: Compensation management and employment law

Related Terms

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