Why More Than Half of Your Employees Are Looking for a New Job
Free Book Preview: Unstoppable
Worried your employees have their eyes on the door? Chances are they do.
More than one in two employees globally feel they must move to a new company in order to receive meaningfully higher compensation, according to a new survey by social jobs and careers community Glassdoor.
The survey polled 4,300 employed adults in seven countries to evaluate employees’ understanding of how their companies determine pay levels. In the U.S., more than half of employees younger than 55 believe jumping ship is more likely to get them a raise, while one-third of those over 55 think switching companies is the way to a thicker wallet.
Glassdoor released its findings today, on Equal Pay Day, to raise awareness about income inequality. Like most salary data, Glassdoor also pointed to a disparity between men and women. In this case, the data showed that men globally are more likely (59 percent) than women (51 percent) to understand how their companies establish tiers of pay. In the U.S., the difference is starker: Among men, 65 percent understand their company’s salary structure, while only 53 percent of women do.
“This data point raises questions related to whether men have access to more salary data than women, if they perceive to have more knowledge about salaries (vs. actually having pay insights), or if they are asking more direct questions of leadership regarding pay levels,” Glassdoor wrote in a blog post accompanying the study.
Meanwhile, only 36 percent of employees globally reported that their employers disclose salary information internally. In the U.S., just 31 percent of workers know what their colleagues earn. In conjunction with the publication of its transparency survey, Glassdoor hosted a panel this morning focused on the subject of equal pay, with Hillary Clinton among the participants.
“This is not about somebody else,” Clinton said of equalizing pay disparities. “This is about you, your family and what you can expect to afford for your future.”
While it’s less taboo today for co-workers to discuss what they earn, and many companies, such as Whole Foods, have embraced salary transparency in recent years, there is still a great deal of mystery surrounding pay. Many studies, even some dating back to the 1960s, show a positive correlation between salary transparency and worker satisfaction. Glassdoor’s new survey reveals that 70 percent of employees globally share this belief.
To eliminate the gender wage gap and keep employees happy and productive, transparency is key.