As Glassdoor CEO Robert Hohman said at this year’s Glassdoor Summit:
“Transparency is the ability to understand. Transparency is the ability to be open and honest about what we want, what we expect, and it’s about being pleasantly surprised or challenged about the things we don’t yet know. Transparency is the new normal.”
Today at Glassdoor, we are announcing our latest effort to be transparent for job seekers, employees and employers alike. Glassdoor has launched Know Your Worth, a new, free tool that makes use of Glassdoor’s patent-pending technology to calculate the estimated market value, or earning potential, of an individual based on characteristics of his or her current job, relevant work experience and the local job market in real time.
Know Your Worth, currently in beta, is designed to not only help people determine if they are being paid fairly, but also whether they should attempt to negotiate their current salary and/or explore better paying jobs.
Know Your Worth uses sophisticated data science and machine learning algorithms that leverage millions of salary reports shared by employees on Glassdoor, while analyzing real-time supply and demand trends in local job markets, and typical career transitions of people doing similar work. Each person’s market value, and pay range, is unique to them and private, and will be recalculated weekly and tracked over time.
“We believe knowledge is power and we’ve built Know Your Worth to help people better understand their earnings potential and worth in the ever-changing job market,” said Hohman. “Glassdoor is uniquely positioned to deliver Know Your Worth with our significant salary database, our real-time pulse on job openings, and insights into probable career transitions for millions of employees. Know Your Worth is the latest Glassdoor innovation that delivers on our mission to help people everywhere find a job and company they love.”
So what does this mean for HR professionals and employers?
Your employees now have access to a very empowering tool that gives them insight into their median estimated market value, or base pay. We recognize these other factors are often considered as part of a company’s overall compensation and rewards program that can significantly influence base pay at a specific company. We have tried to make it clear to our users that Know Your Worth estimates are designed to be a starting point.
However, we know that many employees, like Glassdoor employees, will want to speak to you as recruiters, talent acquisition experts, and HR professionals about their estimates and their salaries, so we have prepared a Know Your Worth Employer Guide to help you tackle some of the challenges.
The key is to explore the tool for yourself. Input your basic details, including current job title, employer, current base salary, location and years of relevant work experience to explore the tool and empower yourself as it pertains to compensation and salary.
“To help manage discussions with employees who have questions about their estimated market value vs. their current pay, we suggest employers frame discussions in context with their company’s total rewards and compensation strategy,” says Kirsten Davidson, Glassdoor’s Head of Employer Brand. “And, be sure to reinforce this early, regularly and openly.”
“Most employees understand base pay is only part of the equation in evaluating overall compensation and rewards,” Davidson continues. “Engage in discussions by reviewing the estimated market value for each employee in context of your company’s total rewards and compensation strategy. Additionally employees (and employers themselves) often overlook the softer rewards that come at a high price to the employer. Remind them of the full extent of the value they receive as an employee at your organization and how base pay fits into their overall package. This can be everything from your health insurance to flexibility to continuing education support to snacks, etc. This is different at every company. If you haven’t yet fully articulated your overall package, spend some time with your team to create messaging and materials that will help you lead these discussions to drive deeper understanding and engagement.”
Remember, in today’s world of transparency, employees simply want to know that they are being paid fairly. Be empowered to have the tough conversations with your teams and double down on creating a work culture that is rewarding, fulfilling and fair.
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