How Pay Transparency Connects with Job Architecture and Employee Trust

In 2021, the state government of ColoradoOpen in a new tab caused a stir when it began requiring employers to disclose pay ranges on job postings. Although the state of MarylandOpen in a new tab and the cities of CincinnatiOpen in a new tab and ToledoOpen in a new tab in Ohio had already enacted pay transparency laws in 2020, they did so without the visibility that Colorado’s law required. Additional states and municipalities have since enacted pay transparency laws or proposed changes that strengthen their existing laws — and the list is growing. READ MORE

Gaming Increases Salary And Career Success. 3 Reasons It Works

If you want to increase your salary or achieve success in your career, gaming may be the perfect strategy. There is evidence that gaming as a child is linked with better pay and more promotion as an adult—and you can accomplish similar results with continued gaming as well.

It’s a tough job market today and there is tons of competition not only for the best roles, but also the best projects and promotions. Employers are looking for those with brilliant thinking and problem-solving skills in addition to people who embrace tech and who can cope with all of the current challenges. READ MORE

2024 Proxy Season Highlights: Compensation Trends and Lessons Learned

As the 2024 proxy season comes to a close, we reflect on key executive compensation trends and consider any lessons learned. This article discusses three such trends. In general, 2024 was not significantly different from 2023 but we did see the second year of pay versus performance disclosures. We also saw support for say-on-pay proposals increase this year and a diverse range of executive compensation-related shareholder proposals. READ MORE

Trends in DE&I Compensation Metrics

Amidst the debate over corporate ESG and DE&I practices, Teneo’s analysis of recent S&P 500 proxy filings reveals an interesting trend: the practice of including DE&I metrics in executive compensation is not only widespread, but increasing in prevalence.

Contrary to headlines suggesting a retreat from DE&I pay measures, our findings indicate more companies have added DE&I metrics to compensation plans than removed them in 2023. However, a notable shift has occurred – many companies are disclosing less detail about the specific DE&I metrics and goals impacting executive payouts. This shift, likely a strategy to reduce backlash from anti-DE&I activists, clashes with investor demand for transparency and the trend towards increased disclosure that began before the inception of say-on-pay. As companies navigate this complex landscape, they must consider the governance and shareholder implications of altering their DE&I pay-related disclosures. READ MORE

What will salary increase budgets look like for 2025?

At the height of the Great Resignation a few years ago, salary increase budgets told the story: Employers were willing to pay a premium to get workers in the door. Today, that urgency has lessened slightly, as organizations navigate a changing job market amid a backdrop of economic uncertainty.

New research out this week from The Conference Board found that—of the 300 compensation leaders the organization surveyed—projected salary increase budgets for 2025 are expected to edge up about 3.9%, a slight increase from the actual 3.8% these organizations reported this year. While the figure is among the highest projections the agency has seen in the last two decades, researchers say, it represents a drop from the actual increases of 4.4% in 2023. READ MORE

Appellate Court Upholds DOL Authority Behind Recent Overtime Final Rule

A U.S. appellate court on Wednesday, Sept. 11, upheld the authority of the Department of Labor (DOL) to consider salary level as the basis for determining exemption eligibility under federal overtime pay requirements.

The decision came courtesy of the U.S. Court of Appeals for the Fifth Circuit, which delivered a unanimous three-judge panel verdict for the defense in the case Mayfield v. U.S. Department of LaborOpen in a new tab. READ MORE

Wages, adjusted for inflation, are falling for new hires in sign of slowing job market

If you need further proof that the nation’s formerly sizzling job market has gone cold, look to what had been perhaps the hottest part of the post-pandemic hiring frenzy: pay for newly hired workers.

After adjusting for inflation, average wages for new hires fell 1.5% over the 12 months ending in July – from $23.85 an hour to $23.51– the largest such decline in a decade, according to an analysis of Labor Department figures by the W.E. Upjohn Institute for Employment Research. READ MORE

Are You Well-Paid? Compare Your Salary to the Average U.S. Income

The median household income in 2023 was $80,610, up 4% from the previous year, according to the U.S. Census Bureau. That's the first meaningful change in income, and increase, in recent years, when accounting for inflation.

While your industry and position largely dictate your earnings, you may want to know how your salary compares to the national average income of your peers or the general population. After all, the more you make, the more you can (usually) save for an emergency or retirement. READ MORE

Implementing a Compensation Clawback

The SEC approved a new exchange listing standard for public companies required by the Dodd-Frank Wall Street Reform and Consumer Protection Act, which required listed companies to adopt a clawback policy by December 1, 2023. This policy requires the clawback of “incentive-based” compensation erroneously received by current and former executive officers, regardless of fault, during the three years prior to an accounting restatement. Although the legal requirements for a clawback policy are straightforward, the implementation of a clawback can be complicated. READ MORE

67% of workers plan to change jobs in the next 6 months. Here’s what would stop them

The world of work continues to evolve, but one thing remains constant in the current job marketplace: the demand for remote and flexible work. From improved working relationships to better work-life balance, flexible work can benefit everyone—and job seekers agree.

To better understand workers’ career decisions, work preferences, and perspectives on the current job market, FlexJobs polled more than 3,000 U.S.-based professionals between August 5 and 18. READ MORE

What will salary increase budgets look like for 2025?

At the height of the Great Resignation a few years ago, salary increase budgets told the story: Employers were willing to pay a premium to get workers in the door. Today, that urgency has lessened slightly, as organizations navigate a changing job market amid a backdrop of economic uncertainty.

New research out this week from The Conference Board found that—of the 300 compensation leaders the organization surveyed—projected salary increase budgets for 2025 are expected to edge up about 3.9%, a slight increase from the actual 3.8% these organizations reported this year. While the figure is among the highest projections the agency has seen in the last two decades, researchers say, it represents a drop from the actual increases of 4.4% in 2023. READ MORE

Fifth Circuit Upholds DOL’s Minimum Salary Requirement for FLSA White-Collar Exemptions

On September 11, 2024, the U.S. Court of Appeals for the Fifth Circuit upheld the U.S. Department of Labor’s (DOL) authority to use a salary basis to define its white-collar overtime exemptions.

Quick Hits

  • The Fifth Circuit upheld the authority of the DOL to include a salary basis in the test in defining the white collar overtime exemptions.

  • The ruling is a win for the DOL, which is currently defending its latest increase to the minimum salary thresholds for the white-collar exemptions. READ MORE

You Can Negotiate Your Starting Salary or Raise Using ChatGPT. Here's How

With historically low job openings, mass layoffs and a shaky economy, job jumping to increase your salary is a risky move in this market. Though this strategy to land a higher salary worked during the "Great Resignation," when the supply-demand equation favored employees, the conditions have changed. 

Whether you're in the job-hunt trenches or you're switching roles at your current company, it's important to know what you're worth and how to get it. READ MORE

Companies are seeing strong shareholder support for their executive pay programs so far in 2024.

The failure rate fell to its lowest level (about 1%) in six years, with average support levels and favorable votes of at least 90%, slightly higher than 2023, as reported through July 31, 2024. These results may be largely attributable to strong stock price performance, given the S&P 500 was up more than 24% in 2023 ― making it less likely that shareholders would push back on executive pay levels ― and a “return to normal” with special actions to address challenges like COVID in the rearview mirror. Also, Institutional Shareholder Services (ISS) issued fewer “against” recommendations than in prior years and, failure rates where ISS issued an “against” recommendation were significantly lower, perhaps indicating that companies are successfully engaging with shareholders to address their concerns. READ MORE