End your compensation team’s pay transparency torment

Increased regulatory requirements have consistently been identified as a top driver for organizations to increase communication about their pay programs, according to participants in WTW’s 2024 Pay Transparency Survey. Unfortunately, several factors related to sharing pay information (beyond what employees get in their paychecks) are tormenting most compensation departments.

But there is a path to tranquility. READ MORE

57.8% of US job postings on Indeed included some compensation information in September

Salary transparency in job postings is becoming more common, but at a slower rate, potentially affected by economic factors, according to new data from Indeed.

Zoom in. Salary transparency has been on the rise since 2019 when fewer than 25% of job postings on Indeed included any compensation information. In September, 57.8% of US job postings on the site “contained some salary information,” a 5.6% increase from 2023, but a slowdown from 2022, when there was a 15.7% rise. The slower growth could be a result of the sluggish labor market. READ MORE

Data Shows Gender Pay Gap Widened at Level Not Seen in 20 Years

The pay gap between American men and women widened in a “statistically significant” way for the first time in two decades, according to a report released Sept. 10 by the U.S. Census BureauOpen in a new tab, but experts urge against viewing that finding in a vacuum.

Census Bureau data — which compared income from 2022 and 2023 for full-time, year-round U.S. workers — showed real median earnings increased by 3%Open in a new tab to $66,790 for men and 1.5% to $55,240 for women. That dropped the women-to-men earnings ratio from 84% in 2022 to 82.7% in 2023. The last time the gap increased to that degree was 2003. READ MORE

Companies are failing to deliver on workers’ pay expectations

The WTW report identified six core objectives related to pay program effectiveness: driving employee attraction, upping employee retention, promoting fair compensation internally, providing competitive compensation, aligning with business strategy and rewarding employees for performance. 

As economic conditions have improved and labor market pressures have lessened, companies should make changes to address the factors that play into pay program effectiveness, Wisper said.  READ MORE

What’s behind the widening gender wage gap in the U.S.?

Just how much of a setback was the COVID-19 pandemic for U.S. working women?

Although women who lost or left their jobs at the height of the crisis have largely returned to the workforce, a recent finding points to the price many paid for stepping back: In 2023, the gender wage gap between men and women working full-time widened year over year for the first time in 20 years, according to an annual report from the U.S. Census Bureau. READ MORE

New challenges, new roles: The evolution of the compensation committee

What do human capital management, succession planning, employee engagement, diversity, equity, and inclusion, and leadership training and development all have in common? They are common new responsibilities and areas of oversight under the purview of today’s compensation committees, expanding their mandate beyond executive pay and benefits.

Since 2016, the percentage of S&P 500 company compensation committees with a title signaling a mandate broader than just compensation has risen from roughly one-third to just over 50 percent, according to Mercer’s research. READ MORE

Executive Compensation Considerations if IPO Markets Pick Back Up in 2025

After a recent slower period of activity in the initial public offering (IPO) markets, there has been speculation in accounting and finance markets that there might be an increase in activity over the course of the 2025 calendar year. Private companies considering a near- or mid-term IPO need to take a number of steps in their preparation for that undertaking, including review and development of an executive compensation program, which will help ensure that their IPO is successful and that their management team remains engaged prior to, in connection with, and after an IPO. READ MORE

‘What’s your current salary?’ Here’s how to reply

When you’re being interviewed, the last thing you want is to get a “panic question.” These questions can leave you spinning, unsure of how to answer. An uncomfortable silence, followed by a lackluster answer, can follow the dreaded, “What’s your current salary?” While honesty is a good rule to follow, divulging this information can put you at a disadvantage.

To navigate this tricky scenario, we’ve gathered insights from experts across various fields, including recruiters, HR professionals, and hiring managers. Their strategies can help you shift from feeling on the spot to becoming your own powerful advocate. READ MORE

Average Partner Pay 'Surges' in Both Equity and Nonequity Tiers

It's no secret that Big Law partners continue to take home bigger and bigger paychecks. But a new report this week details the extent to which compensation has "surged" in the Am Law 200 over the last few years—and the last decade.

Average pay for Am Law 200 partners, including equity and nonequity, has eclipsed $1.4 million, according to the latest partner compensation survey from Major, Lindsey & Africa. That's a 26% increase since the last survey two years ago, when the number was about $1.12 million, and nearly double the number ($716,000) from 2014. READ MORE

Boeing Workers Reject Pay Offer as Strike Continues

Boeing factory workers voted Wednesday to reject the company’s latest contract offer and to continue a six-week strike that has halted production of the aerospace giant’s bestselling jetliners. Local union leaders in Seattle said 64 percent of members of the International Association of Machinists and Aerospace Workers who cast ballots voted against accepting the proposal.

“After 10 years of sacrifices, we still have ground to make up, and we’re hopeful to do so by resuming negotiations promptly,” Jon Holden, the head of the IAM District 751 union, said in a statement Wednesday evening. “This is workplace democracy—and also clear evidence that there are consequences when a company mistreats its workers year after year.” READ MORE

ISS Issues Off-Cycle US Executive Compensation FAQ on Meaning of ‘Robust’ Clawback Policy

On October 11, 2024, Institutional Shareholder Services (ISS) released a new FAQ regarding clawback policies as an update to its United States Executive Compensation Policies, which give insight into, among other things, ISS procedures for determining its say-on-pay (SOP) proposal recommendations. Note that companies without an SOP proxy proposal (e.g., emerging growth companies) should not be impacted by this new ISS guidance. READ MORE

Paid sick time for pets? A New York City Council bill could soon allow it

A new bill making its way through New York City Council would take away at least one major stress for pet owners in the city.

The just-introduced legislation would allow people to use their own paid sick time to take care of their pets when necessary. Supporters believe the bill would amend a current law and help improve improve mental health for city residents with pets. READ MORE

What the Mayfield ruling means for overtime exemptions

Navigating the complexities of the Fair Labor Standards Act is critical for employers, especially when it comes to determining which employees qualify as exempt from overtime. While many are familiar with “white-collar” exemptions covering executive, administrative and professional roles, misclassifications remain a significant risk.

The recent Mayfield v. U.S. Department of Labor ruling from the 5th U.S. Circuit Court of Appeals reaffirmed that both the salary and duties tests are required when classifying employees as exempt, reminding employers that exemption status isn’t determined solely by job title or pay level.  READ MORE

4 remote jobs that can pay 6 figures—one can pay as much as $195,000 per year

Remote work continues to be popular among workers. Nearly a quarter, 22% say remote work flexibility is the most important benefit, according to Monster’s 2024 Work Watch Report.

Some industries lend themselves to this type of arrangement. “A lot of remote jobs are tech jobs” for example, says John Mullinix, head of growth marketing at Ladders. But remote jobs can be found in a wide range of fields — including opportunities “that are upwards of $130,000,” says Toni Frana, career expert at FlexJobs. READ MORE

CEO pay dropped in 2023—but it’s not clear why

For decades, chief executive pay has climbed precipitously, buttressed by generous stock awards and six-figure bonuses. Since 1978, CEO compensation has spiked by 1,085%, a far cry from the 24% bump in pay that the average worker has seen.

In 2023, however, overall CEO compensation—which includes salary, bonuses, stock awards, and stock options—actually dropped by nearly 20%, according to a recent analysis by the Economic Policy Institute (EPI). That means CEOs were only paid 290 times as much as the average worker, a sharp decline from previous years. (Just a year before, in 2022, CEOs received 360 times the pay of the average worker.) READ MORE