Updated: Oct 14, 2018
This week we had the opportunity to sit on a panel for the AAUW - American Association of University Women, and based on the great discussion being had, this is something more and more people are interested in remedying. The most recent census bureau data shows that, overall, US women working full time make only 80% of men's wages. The gap exists within all professions. In 1973 the pay for women was on average only 57% of what men were paid.
This is not a new story. But, how we are telling the story IS changing, and this is good for business! More and more as our country and our companies continue to embrace diversity, businesses are recognizing that having a diverse workforce means big dollars overall. These big dollars come from increased sales, better product lines, retention of employees and recruitment of future employees.
Most companies we work with are committed to a good culture for their organization. The challenge is finding the right path in which to get there. Should we legislate and make stringent guidelines for companies? Should we provide incentive for companies to comply with equal pay? Which do we use, the carrot or the stick? Regardless of the force behind the effort, the path must still be clear. For that reason, here are a few tips to help.
Know where you are today - perform a compensation audit of your company as it stands today. If you don't have the knowledge or expertise to walk through an audit, there are a variety of local resources to help you out.
Commit to doing this on an annual basis. As salesforce.com found out, equal pay is a moving target, especially with growing companies. There are no short cuts here. You must be committed to looking at this as a long-term change. In the words of my dietitian, Amanda, it is a lifestyle change, not a diet.
Be a champion for your employees! Employees are allowed to talk about compensation; it is legal for them to do so. As the world of work-life integration continues to blend and your employees build relationships with their co-workers that extend into the real world, or the social media world, candid compensation is no longer the reality. Recruiterbox shared information on different levels of compensation transparency. Whether full transparency or no transparency is the way for you in small ways you can connect with your employees, and help them to understand your compensation matrix in a way that is comfortable for you.