29 May Key Considerations for Achieving Total Rewards Transparency
Today, there’s more transparency in the workplace than ever before. Sharing information can help drive communication and accountability, and letting employees know what’s going on with compensation is invaluable for driving commitment.
Yet, many professionals aren’t sure just how much transparency they should aim for. Here, we discuss some considerations to help you move towards a level of greater transparency surrounding total rewards in your organization.
How Transparent is Your Organization?
Only 13% of respondents in a 2013 Pearl Meyer WorkSpan Survey considered their organizations to be transparent. In addition:
- 39% said no salary range info is provided
- 22% said only limited salary range info (i.e., the employee’s range) is shared
- 8% said additional (but still limited) info is shared, such as the employee range and the next range up
While this certainly points to the fact that organizations need to become more transparent with compensation, the issue is still rather complicated. The fact is that many organizations that haven’t been quite as transparent in the past find it very challenging to become transparent moving forward. One way to address this challenge is to think of transparency as a gradual process.
Some organizations are hesitant to share too much information too quickly, as they worry that employees may not be prepared for all of it at once. While it’s true that your employees may be able to handle – and actually desire – more information that you might think, there’s nothing wrong with taking a gradual approach to transparency.
Taking a Gradual Approach
As long as you’re sharing more information than you have in the past, you’re moving in a direction toward transparency. That certainly doesn’t have to mean sharing everything all at once. For instance, you could publish quarterly reports and provide a little more information at a time. Just be sure to keep your information accurate and easily accessible for all employees. It’s also important to make sure that managers are prepared to answer any questions employees may have after new information is shared.
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