The article “Who benefits when salary info is public? Pay transparency carries consequences” by Sarah Kessler tells about the fact that in the USA, in January of this year, in such states as California and Washington specific laws came into force. They required companies to post salary ranges in job listings. Legislators took a cue from rules in the states of New York and Colorado. The author believes that the reason for the adoption of such a law is that the transparency of wages helped to reduce the difference in wages between states. Such laws began to gain traction when Mr. Ron Harman King, founder of a small content marketing firm in Colorado, began posting salary ranges on job listings. This strategy was tested but the results were shocking. Candidates, who took part in such an experiment, showed greater motivation at the interview than those who previously applied with higher salary expectations (Kessler, 2023). In this way, the interviews became much easier, because there were no more awkward questions and clarifications about the payment after completing the trial period.
The article is related to the compensation and benefits management topic, as it tells about how the detailing of the vacancy affects the selection and recruitment of personnel for the position. Compensation and benefits management is often hidden in job descriptions and rates. Thus, the article shows that it is more effective when instead of looking at industry data across the country, managers should consider the tactics of their direct competitors. If an employer lists salary ranges for each position, it lends credence to the company’s no-interview policy when applicants receive an offer from a competitor (Kessler, 2023). In addition, the laws and policies on pay transparency studied in this course and mentioned in the article are mainly aimed at reducing inequality. Therefore, more and more studies are examining some of their indirect effects.
Reference
Kessler, S. (2023). Who benefits when salary info is public? Pay transparency carries consequences. Buffalo News. Web.