Have you heard of “unexplained pay ratio”? If you work for a public company, you should read this!
Ever heard of the term “unexplained pay ratio”? If you haven’t and you are in HR, more than likely you will hear about it soon. With the new Pay Ration Disclosure mandate taking effect this year, many companies will have to address the pay gaps between regular workers and the C-Suite. Moreover, some companies will have to come up with ways to mitigate employee turnover if pay ratios are too wide between C level employees and others. What can your company do to ensure pay ratios are reasonable? Companies will have to take note of pay ratios when thinking of employee engagement as this can be one of the highest contributing factors to worker dissatisfaction and poor work performance.
Big, unexplained gaps between CEO and worker pay can cut productivity in half