The White House reports that on average, women working full-time earn 77 cents for every dollar men earn. According to a new Glassdoor survey1 that dives deeper into income inequality and wage gap issues, two in five (39%) employees do not believe they receive fair pay in their current job. Further, more women (42%) than men (34%) do not believe they are being paid fairly.
Who can best address the pay gap issue?
Nearly three in five (57%) employees believe employers are in the best position to address pay gaps, compared to 30% of employees who believe Congress is in the best position to address the issue and 14% of employees who believe it is President Obama.
“Now is the time employers need to take a close look at their salary structure and determine where pay gaps exist, then fix it so employees know exactly where they stand in terms of compensation within their organization,” said Rusty Rueff, Glassdoor career and workplace expert. “When employees have a clearer understanding of how they’re being compensated without secrecy around salaries, not only can they feel empowered in their current jobs, they’re also often motivated to work towards the next level, which can improve productivity.”
How can the pay gap issue improve?
Given that the majority of employees (57%) say employers are in the best position to address salary inequality at work, here’s how employees believe pay gaps can be resolved:
- New company policies around pay & comp (52%)
- Clearer communication from senior leaders/HR about how raises are determined (45%)
- Greater pay transparency (38%)
- Government legislation (21%)
- Employees threatening to leave and/or protests (17%)
- New senior leaders (16%)
What do employees want when a pay raise is not possible?
If employees do not receive a pay increase within one year of starting a job, 62% say they would consider looking for a new job opportunity. However, employees report they would be satisfied with other perks and benefits if a pay raise or cost-of-living increase is not possible from their employer.
When a pay raise is not an option, employees say they’d most want:
- More vacation days (61%)
- More career opportunities (52%)
- Flexible work hours (50%)
- Option to work from home/remotely (46%)
- Company stock/shares (44%)
- Healthcare subsidy (34%)
- Gym membership (23%)
- Opportunities to work on new projects (21%)
- Free food & drinks (15%)
- Less direct supervision (9%)
Breaking this data down by gender, Glassdoor’s survey found more women than men want benefits like flexible work hours and the ability to work from home, while more men than women want company stock/shares:
- Flexible work hours
- 60% of women
- 40% of men
- Option to work from home/remotely
- 52% of women
- 39% of men
- Company stock/shares
- 37% of women
- 51% of men
¹ Data is based on a Glassdoor site survey conducted online among 1,000 employees and job seekers from February 18-26, 2014.