Exposing pay: pay transparency and what it means for employees, employers, and public policy
In: Oxford scholarship online
In: Business and management
"Pay, and particularly others' pay, is a topic of interest to all of us. While we may deem it inappropriate to ask our boss what others in the organization are earning, that doesn't mean we wouldn't like to know. Nor is this due merely to curiosity. Knowing the figures on others' paychecks is important because, lacking such information, it's difficult for us to assess how fair our own pay is, whether we are justified in seeking a raise, or whether it's worth our while to seek our fortune in some other organization or career. Moreover, we might look favorably upon greater transparency in pay-related matters not only as employees, but also as citizens. Greater pay transparency might serve as a means to (a) better ensure that labor markets efficiently match individuals with those employers most able to leverage their talent, and (b) make it harder for employers to discriminate, whether intentionally or not, against women, minorities, and other disadvantaged groups with respect to pay."