A recent survey by the Society for Human Resource Management (SHRM) found that organizations with pay transparency are more likely to attract qualified job applicants. The report states that 82% of US workers are more likely to consider applying for a job if the pay range is listed in the job posting. On the other hand, 74% of US workers are less interested in applying to job postings without a pay range, while 73% are more likely to trust organizations that list pay ranges.
SHRM’s Chief of Staff and Head of Public Affairs, Emily Dickens, noted that achieving equity in the workplace requires directed education on the compensation process, engagement with compensation specialists and HR professionals, and an understanding of how to leverage one’s talent through personal advocacy and allyship within the organization.
The report also found that 42% of HR professionals surveyed worked in a location where pay ranges were legally required to be included in job postings. However, even in not mandatory areas, 67% of HR professionals say that their organizations sometimes, often, or always voluntarily list start pay in their job postings.
The SHRM survey was conducted from February 21 to February 27, 2023, and included responses from 1,386 HR professionals across the United States.
According to research from Indeed's Hiring Lab, salary transparency in US job postings is rising, even in locations without regulations mandating it. The study found that 43.7% of US job postings on Indeed now include salary information, a 137% increase over the last three years. The rise is partly attributed to transparency legislation and a tight labor market. However, the numbers vary depending on location and occupation, with the West having the highest transparency rates due to more common regulations, while the South has the lowest. Job postings for childcare, security, and dental fields are the most transparent, while engineering and banking/finance jobs typically offer less salary information upfront. High-wage jobs have seen the most significant rise in transparency over the last year, historically providing less pay information upfront.
