Pay equity is a pressing issue in today's corporate world. Managers, it's time to step up and champion this cause. Learn how to effectively advocate for fair compensation in your team and organization, fostering a culture of equality and respect.
Change needs to start at the top
Line managers, especially new and young ones, have an important role to play
- When employees understand how salary decisions are made and are free to discuss their pay with colleagues and managers, they feel valued and are more likely to trust the organization and its leaders
- If you’re a manager, you can normalize difficult conversations around pay by learning how to talk about compensation with your team
Conduct regular reviews with your team
Set up a quarterly or annual one-on-one meeting with each team member specifically dedicated to discussing and reviewing their compensation
- Year-round, you should be proactive and make it a priority to check in with your HR team around when employees are eligible for increases in pay
Understand the pay gaps among team members
Spend some time updating yourself on how each of your direct reports is being compensated
- Pay attention to how factors such as gender, race, age, etc., might have historically affected pay and increments for specific individuals
- Be able to explain the unethical reasoning behind the disparity to your boss and HR
Create salary benchmarks
Set clear salary ranges for the different positions on your team and make this information public
- Invest your time to establish this practice to give you and your direct reports clarity around where everyone stands
- It will also set fairer standards for raises and performance awards, reduce the chance of pay disparities and create a culture of transparency
Make a case to eliminate pay gaps in your team
When you acknowledge the pay disparities among different direct reports, clearly explain how they came to be – whether it is because of someone being hired at a lower compensation or someone being overlooked for a well-deserved promotion.
- Explain the business case for why it is crucial to eliminate the disparities and pay people fairly. Explain how it impacts individual performance and growth and then connect pay equity to the core values of diversity, equity, and inclusion.
Be transparent about salary while hiring
When advertising for a role at your organization, include the salary range if possible
- This helps candidates negotiate for pay within the range you are offering without divulging their salary history
- Ensure that as a manager you’re able to evaluate compensation based on their skills, expectations, and responsibilities for the current role
