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Pay transparency: 19% of hiring managers say their firm has one, Nelson Connects finds

January 17, 2023

Nearly a fifth of hiring managers, 19%, said their company has a pay transparency strategy while 65% do not, according to the “Nelson Connects 2023 Digital Salary Guide and Workplace Trends Report.” Another 16% didn’t know if their company had one.

Nelson Connects’ report noted pay transparency is gaining in popularity — as evidenced by legislation requiring employers to post salary ranges in job ads in California, Washington, Colorado and New York City.

The report also found 56% of hiring managers said their companies offer “retention raises” to incumbents, and 57% said their company increases incumbents’ salaries to match those of new hires.

Still, the first consideration when extending raises is employees’ on-the-job performance, according to the research. That was followed by the potential to boost retention and remain competitive as an employer of choice. However, employee job tenure ranked as the least significant factor driving pay increases.

One of the other questions in the report was on remote work. It found that 40% of hiring managers said employees had hybrid schedules working in-office on some days and remotely on others. However, 24% said employees were back in the office full-time, and 3% said their company closed offices with employees working 100% remotely. Twelve percent were flexible, allowing workers to choose office or remote; 21% surveyed cited a different answer.

The report includes data from a survey of 140 hiring manages conducted in the fourth quarter of 2022 at public, private and nonprofit organizations in California and major US metros.

Nelson Connects is the new brand for Nelson, a Sonoma, California-based staffing provider that ranks on the list of largest staffing firms in the US. The new brand was rolled out last June.