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Pay transparency is great for business owners and other large employers. It makes it much easier to compress pay.

> Recent decades have witnessed a growing focus on two distinct income patterns: persistent pay inequity, particularly a gender pay gap, and growing pay inequality. Pay transparency is widely advanced as a remedy for both. Yet we know little about the systemic influence of this policy on the evolution of pay practices within organizations. To address this void, we assemble a dataset combining detailed performance, demographic and salary data for approximately 100,000 US academics between 1997 and 2017. We then exploit staggered shocks to wage transparency to explore how this change reshapes pay practices. We find evidence that pay transparency causes significant increases in both the equity and equality of pay, and significant and sizeable reductions in the link between pay and individually measured performance.

https://www.nature.com/articles/s41562-022-01288-9




> Pay transparency is great for business owners and other large employers.

If this is true, why aren't large employers already publishing salary data? i.e. why do they have to be forced to do it by law?


Because they screw people over. See my other comment in the thread.

I spent most of my career as a public employee, most years salary are searchable on the internet. It’s nice because it eliminates a lot of drama about salary, who has what formal title, etc.

When I was in sales, the smart salespeople were following their peer/competitors performance. The notion that “professionals” are above such things as compensation is just stupid.


I'm also not following this argument.

Understanding job markets requires leg work and is definitely part of the competitive advantage of many businesses.


I think it's an all or nothing thing. Company-1 wouldn't mind doing it, but only if company-2 does it also.


Then those of us able to get more might be pushed into taking the risk of making our own company and competing against the major players who are currently controlling the market by paying more than God to keep talent focused on selling ads instead of creating value?


Your reference doesn't seem to be relevant to your claim.




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