SHOULD YOUR SALARY (STILL) BE A SECRET?
There is a growing movement towards greater transparency in remuneration. The finweek team explores what the impact of revealing salaries can be on employee morale and productivity.
payslip left accidentally at the copier can spark a riot. Or, at the very least, simmering resentments and at least one slammed office door. Salaries are enormously sensitive. Nothing is as demoralising as finding you are paid less than your slacker co-worker, whose contribution to the company bottom line is, frankly, negligible.
Now some US companies (including the prominent retailer Whole Foods) are taking the drastic step of disclosing all salaries to employees. They argue that salary transparency can help to address inequality, in particular the gender wage gap. They have a point. Unfair practices flourish when salaries are kept secret.
Take the recent impact of pay disclosures in Hollywood. There was a huge outcry when leaked emails revealed Oscar winner Jennifer Lawrence had earned much less than her male counterparts