As legislation rolls out gradually around the country — and the world — most human resources professionals expect pay transparency and pay equity to increase in importance or remain of equal importance to companies’ branding strategies, according to the results of HR Dive’s 2025 Identity of HR survey.
But there’s been a subtle shift.
While half of the 578 HR pros surveyed earlier this year expect no change in employers’ approaches, the share who predicted pay transparency and pay equity would increase in importance in the next three to five years dropped from 60% in last year’s survey to 41% this year. Meanwhile, those who foresee the efforts losing importance over the same time period grew from 4.5% last year to 9% this year.
Pay transparency, pay equity and compensation’s role in branding expected to drop in importance
Breanne Martell, a shareholder at Littler, offers a possible explanation.
“It’s not really a branding issue, because everybody’s going to be doing it; it’s just going to be the standard business practice. I don’t think that suggests that it will be less important; it’s just now part of this whole tapestry of what the expectation is for businesses,” Martell said.
Martell expects that all companies eventually will disclose pay and benefits information in their job postings in the U.S. — as well as Europe, thanks to the European Union’s Pay Transparency Directive — making disclosure less of a competitive advantage.
Katie Stukowski, vice president of solutions consulting at Salary.com, doesn’t quite think that transition is underway yet, however.
“I think in some cases it may be, but I don’t think we’re there yet,” Stukowski said.
Rather, she attributes the shift to companies’ worries over how comfortable they are with their pay transparency efforts and compliance requirements.
“Part of that can be a reason why they might push other marketing objectives for their organization,” Stukowski said. Employers may not have the right processes and procedures in place to invite the conversation, she said.
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The necessity of pay transparency isn’t going away, a vice president at Salary.com said.