Why doesn't anyone want to talk about pay?

Robert Gray, President, Insightlink Communications

Many times when new clients review our 4Cs survey, one of the first requests they make is to drop any questions regarding compensation. Usually this request is from senior management and often comes with the comment, "We know everyone will complain about their pay anyway, so why bother asking? We'd rather not bring it up."

A recent article on SHRM.org explores the issue deeper. A survey of 1,356 employed U.S. adults was conducted on behalf of Glassdoor.com, an online career and workplace community where visitors share opinions about company work environments. This survey concluded that:

Among those employees who are comfortable discussing their salary information, details and gripes are more often shared with family and friends than those who can actually provide clarity or make a difference in their pay check: a supervisor or HR professional. Only 25 percent of these employees are comfortable discussing their salary with their boss. And they are nearly twice as likely to discuss their compensation with their best friend (33 percent) than an HR representative (18 percent).

So, on the one hand, we have management who'd rather not hear about issues surrounding compensation and conversely, most employees just aren't that comfortable discussing it directly with their management. That's why we think that along with Culture, Commitment and Communications, understanding Compensation policies is an important factor to cover in our 4Cs survey. It gives you a chance to see how your employees feel about pay in a completely anonymous way.

We find that fairness is the key, as is a clear link between performance and pay.  As Rusty Rueff a Glassdoor.com board member states: "Companies should be more open about compensation to bridge gaps in expectations and reach a common understanding."

I wholeheartedly agree, and that's why I try to discourage turning our 4Cs survey into a 3Cs survey! Yes, there are sometimes legitimate reasons not to ask specific questions about pay and benefits. But a big part of the problem is a misunderstanding of how attitudes toward compensation contribute to job satisfaction and employee engagement. I also want to hear your thoughts on this important question. 

Tell us what you think.

What's your experience with this topic at your company? Does your management "duck & cover" when it comes to questions about pay? Send a reply to this email and we'll publish the best (anonymously, of course) of your comments next month.


On a separate note, we will be publishing selected findings from our 2010 4Cs Employee Benchmark Study in the coming months. Please contact us if you'd like to receive a free copy.

We've also just launched an expanded and re-designed web site specifically for our 4Cs Employee Survey. You should take some time to visit it here.

If you'd like to speak with me directly, please contact me at rgray@insightlink.com or call 866-802-8095 x702.