Pay transparency is a term that you have probably heard a lot about recently, and if not, then there is a very good chance that you will soon.
SO WHAT IS PAY TRANSPARENCY?
Like all new laws or regulations, this one comes in a number of different iterations, but it is another regulation that helps to ensure pay equity. However, the bottom line is that if your organization is located or has employees in one of the 13 states or cities (more coming soon) that has enacted these regulations, then it is the law for you. Your area's specific regulations dictate your required actions but at a minimum you must disclose the pay scale for every position.
WHAT DOES THIS HAVE TO DO WITH BENCHMARKING?
Benchmarking not only helps your members with one of the most important member benefits that an association can provide, but it also can now help your members with pay transparency/pay equity regulations. If your association is not providing compensation and benefits data to your members, then you should seriously consider making this a cornerstone of value-added benefits that you offer. A legacy type of survey does not allow the member to filter and benchmark against peers, so they run the risk of being out of balance with the industry. In terms of pay transparency, members that have data to make their decisions are more competitive and efficient. This can be extremely impactful to not only your members' bottom line, but also significantly impact the culture at their organizations.
IS THIS SUBJECT IMPORTANT TO MY MEMBERS?
That depends: if the member is a high performing organization that attracts and retains great talent then, you can bet it is very important. Today’s workforce demands that their employer understand pay equity and high-performance teams that are intertwined with a culture of success. It is impossible for employers to create this culture without knowing the numbers that lay the foundation for success. Your association is the natural hub for this type of data and your members are hungry for it.
Dynamic Benchmarking has many years of experience providing compensation and benefits benchmarking to associations. We can quickly help you setup pay transparency studies with easy to understand reports for your members to be more competitive in their respective markets. Click here to schedule a meeting with our team.