Pay transparency report

Western Compensation & Benefits Consultants, Canada, (“WCBC”) recently conducted a survey on how employers are navigating the evolving landscape of pay transparency legislation, including employers currently subject to pay transparency laws as well as those who are not.

WCBC’s Pay Transparency Survey was conducted in January 2024 and included data from 249 organizations located across Canada. The 12-page report covers:

· adoption of and organizational perspectives towards pay transparency;

· changes/modifications to external and internal job postings;

· communicating pay information with employees;

· policies around pay transparency; and

· pay inequity and gender wage gap.

CONCLUSIONS / RECOMMENDATIONS

The pay transparency landscape is evolving in Canada and globally. Recommendations for organizations that are impacted by legislation as well as those who are not, are summarized below:

Review Compensation Philosophies: Organizations should periodically review their compensation philosophies to ensure they align with human resources needs, market realities, organizational values, and legal requirements.

Encourage Adoption of Pay Transparency Policies: Organizations should adopt comprehensive pay transparency policies, aligning with evolving legislative requirements and societal expectations.

Enhance Communication Strategies: Develop clear communication strategies around compensation, balancing transparency with privacy and operational needs.

Prepare for Increased Employee Engagement: Equip HR and management teams to handle increased employee inquiries about compensation, thereby fostering a culture of openness and trust.

Reconsider Pay History Inquiries: Organizations should evaluate the practice of asking about pay history, considering its impact on perpetuating wage gaps.

Adopt Uniform Pay Transparency Practices: For organizations operating across different jurisdictions, consider adopting uniform pay transparency practices to maintain consistency and fairness.

Ensure Legislative Compliance: Organizations should stay informed about legislative developments in pay transparency and ensure compliance to avoid legal repercussions.

Promote Equity and Inclusivity: Use pay transparency as a tool to promote equity and inclusivity within the workplace, going beyond legal compliance to foster a positive organizational culture.

ABOUT WCBC

WCBC is a leading compensation and benefits consulting firm serving clients for over 40 years. We specialize in assisting organizations determine how much and how to pay, motivate, and retain employees. We offer a fully integrated total compensation service, including strategic direction; benchmarking; design; implementation; and management of all aspects of the employee value proposition. You can read the full report at: WCBC’s Pay Transparency Survey