As a leader in workplace transparency, Glassdoor has conducted a new economic research study and survey on the topic of the gender pay gap and salary transparency. The results might surprise you.
Salary negotiation is becoming more common for both men and women. Back in 2016, 59% of employees accepted their salary without negotiating. But according to Glassdoor’s latest survey, that number dropped to 40% of people who did not negotiation. That’s correct, 58% of women and 61% of men negotiated their salary in their current or most recent job.
Today, 17% of employees—18% of men and 16% of women—report negotiating their salary and getting more money in their current or most recent job. This is up quite a bit from March 2016 when only 10% of employees reported negotiating their salary and getting more money.
The 2019 survey was conducted online within the United States by The Harris Poll on behalf of Glassdoor from March 12-14, 2019 among 1,025 U.S. adults who are employed full- or part-time.
In addition to salary negotiation becoming a reality in the job search, employers should pay close attention to the shifting perceptions around salary transparency. While it was once taboo to talk about pay, employees now expect significant salary transparency either through Glassdoor Salary Estimates, reviews or directly from the employer.
The majority of employees (77%) say salary transparency is good for employee satisfaction and business. And companies seem to be responding—nearly half now disclose salaries internally. Nearly half (47%) of employees say their company discloses salaries internally among all employees.
Perhaps more compelling is that 3 in 5 would not apply to a company where gender pay gap exists, and over half of the respondents (55%) feel like they must switch companies in order to obtain any meaningful change in compensation. Bottom line, job seekers will bypass a company and employees will leave a job to earn more and be paid fairly elsewhere.
Therefore, it’s more vital than ever to have a fair compensation philosophy and to convey that to job seekers and employees through a compelling employer brand.
Combining knowledge with valuable resources is the next step to ensuring equal pay for equal work everywhere,” said Annie Pearl, Glassdoor senior vice president and head of product and UX/design. “Over the past three years, Glassdoor has developed technology-based tools from advanced salary calculators to determine a worker’s current market value to pay gap auditing guides that help employers identify where pay differences may exist. These tools contribute to more informed conversations and smarter decisions around pay at work. We all have a part to play to close the pay gap.”