Managers, Here’s How to Advocate for Pay Equity - Deepstash
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Managing Remotely

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Pay gaps

Pay gaps

Pay gaps are a huge problem in companies around the world. On average, women earn less than their male counterparts. Women of colour may earn over $1 million less in lifetime earnings due to unequal pay.

Some companies are starting to address this problem. However, organisations often only identify the symptoms and fail to correct them: low starting salaries for people from marginalised communities, discrimination during promotions and appraisals, and other factors.

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Taboo pay conversations

Many leaders still encourage secrecy related to compensation. 

Line managers can play an important role in changing this culture:

  • As a line manager, you are between your direct reports and the leadership team. You know how compensation and appraisal decisions influence your team's motivation and performance. 
  • A survey found that when employees understand how salary decisions are made and can freely discuss their pay, they feel valued and more likely to trust their organisation. As a manager, you can normalise these conversations by learning how to talk about them with your team.

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How to talk about equal pay with your team

  • Create clear salary ranges for different positions on your team. Work closely with leadership and your HR department on setting benchmarks. Make this information public so that your direct reports have clarity around where everyone stands.
  • Be transparent about salary while hiring. Include the salary range when you advertise for a role. Evaluate compensation based on skills, expectations, and responsibilities for the role.
  • Conduct quarterly or annual reviews with each team member. Discuss and review their compensation and ask if they feel they are fairly compensated for their tasks.

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