Written by Claytoya Tugwell
Would you apply for a job without knowing the salary?
For a growing number of job seekers—especially younger workers—the answer is no. In fact, 58% of Gen Z candidates say they won’t apply for a role if the salary range isn’t listed. That’s not just a hiring preference—it’s a signal that expectations around transparency have shifted.
And the shift doesn’t stop at job postings. More and more, employees expect their organization to clearly communicate how pay decisions are made, how growth is rewarded, and how equity shows up in compensation practices.
Across the country, a growing number of states now require employers to share salary ranges in job postings, reflecting a broader shift toward transparency and accountability in the workplace.
And let’s be honest—talking about pay at work can feel complicated. For employees, it’s often wrapped up in emotion, comparison, and uncertainty. For employers, it can feel high-stakes, sensitive, and full of nuance.
Today, employees aren’t simply asking, “Am I paid fairly?” They’re asking something deeper:
- Can I trust this system?
- Does it reflect our organization’s values?
- Does it support my growth, my well-being, and my future here?
At Positively Partners, we’ve supported mission-driven organizations in navigating the shift toward more open, intentional compensation practices. And one thing is increasingly clear: compensation transparency isn’t a perk or an isolated policy—it’s a foundational element of workplace trust. When done with intention, it not only supports fairness and equity—it strengthens culture, deepens engagement, improves organizational health and reinforces a shared sense of purpose that can retain top talent at your organization.
Clarity Around Pay Reflects Clarity Around Priorities
Every compensation system tells a story—about what matters, how success is measured, and how growth is supported. But when that story is vague or inconsistent, employees are left to write their own narrative.
That’s where doubt, disengagement, and frustration takes root: in the silence.
A well-articulated compensation philosophy eliminates the guesswork. It creates a shared language around:
- How base salaries are determined
- What career progression looks like
- Which behaviors and contributions are recognized and rewarded
That clarity doesn’t just prevent confusion—it promotes alignment. It gives managers tools to lead more effectively and empowers employees to make informed choices about their development and future.
It’s Not Just What You Pay—It’s What You Stand For
One of the fastest ways employees gauge your values isn’t from your mission statement or onboarding materials—it’s from how decisions are made when no one’s watching. They’re embedded in day-to-day decisions. And compensation is one of the most powerful places to show that alignment.
In values-driven workplaces, compensation is not simply a transactional exchange—it’s a reflection of dignity, recognition, and trust. A transparent, well-communicated pay philosophy sends a powerful message:
We see your contributions.
We’ve thought this through.
We’re committed to making our practices match our principles.
And for employees, that clarity isn’t just comforting—it’s motivating.
Equity Can’t Just Be a Value—It Has to Show Up in Pay
Equity is one of the most talked-about values in today’s workplace—but without action, it risks becoming performative. If your organization says it values equity but avoids talking about compensation, employees notice the gap. Pay transparency is one of the most tangible ways to bring that value to life.
According to Payscale’s 2025 Compensation Best Practices Report, 47% of organizations admit they don’t have a formal pay equity strategy in place, despite strong internal commitments to DEI. In contrast, organizations with mature pay transparency practices are 3.2 times more likely to engage and retain their workforce, according to the Josh Bersin Company.
Transparent compensation systems help surface pay disparities across departments, roles, and experience levels. But surfacing the data is only the beginning. Accountability is key and most often includes:
- Regular equity audits
- Inclusive, structured promotion processes
- Thoughtful performance evaluation systems
When employees see that your organization is committed to equity in practice, not just in principle, trust runs deeper—and culture becomes more resilient. When equity is practiced—not just professed—it builds a culture of safety, integrity, and belonging.
Start with What You Can Control
You don’t have to overhaul your entire compensation system overnight. The most meaningful changes often begin with a few key questions:
- Do our employees understand how their pay is determined?
- Are we clear—and honest—about what we value and how we reward it?
- Where might ambiguity or inconsistency be undermining trust?
Begin by refining your compensation philosophy. Build in regular conversations with staff. Strengthen the internal tools that help managers communicate about pay clearly and confidently.
Even incremental improvements can create powerful ripple effects. Because in a workplace where transparency fuels trust, and where trust fuels well-being, performance, and retention—small shifts become big moves.
The Bottom Line
Compensation is never just compensation. It’s communication. It’s culture. It’s care.
