Younger Generations Are More Likely To Share Salary Information – Why It’s A Welcome Trend For Equal Pay

SolStock /

There has recently been growing pressure for pay transparency, particularly to reduce gender pay inequalities in the workplace. However, a new survey has noted that not everyone is comfortable sharing income information, and age is a big factor in the decision.

See: 5 money experts for Gen Z to follow now
Find: These 5 cities have the most economical gender parity in the United States

A new LinkedIn Pulse survey found that how American workers view pay transparency depends on their age. Indeed, 81% of Gen Z respondents believe that sharing their income information will lead to better pay equality, compared to 75% of Gen Y support and 47% for Gen X.

Bonus offer: Find a chequing account that fits your lifestyle. $100 bonus offer for new current account customers.

Meanwhile, just 28% of baby boomers say it will lead to greater equality, with 42% totally disagreeing with the premise.

Jeanniey Walden, chief innovation officer at DailyPay, told GOBankingRates that “knowledge is power”.

“Young members of the workforce see pay transparency as a key way to determine their employer’s commitment to them and their future with the company,” Walden said. “Gen Z and Millennials also seek and receive real-time transparency on everything, including their income to assess their own personal purchasing power. This transparency reflects the change in the relationship between employer and employee where open communication and honesty have become paramount.

These results are also consistent with compensation software company Beqom’s 2022 Compensation and Culture Report, which found that in the United States, candidates indicated that while job descriptions were transparent about benefits and benefits offered (81%) and the salary range of the position (79%), they were more likely to apply. Additionally, Beqom found that 43% of all respondents said they were comfortable discussing their salary with colleagues, with 60.5% of Gen Z and 62% of Gen Y being more likely. discuss compensation with a colleague than older generations.

Bonus offer: Bank of America $100 bonus offer for new online checking accounts. See the page for more details.

When it comes to Americans who are most comfortable saying what they earn, family members top the list across all generations, according to LinkedIn.

Things are different when it comes to discussing compensation with colleagues, however, with 32% of Gen Z respondents feeling comfortable doing so, compared to just 9% of baby boomers, according to LinkedIn.

Explore: Social Security income has fallen due to wage inequality
Learn: Most employers want to know your soft skills: what are they and how can you add them to your CV?

Finally, LinkedIn highlights another generational difference: 34% of Gen Z Americans say they’re willing to share salary information “with anyone who asks,” compared to just 4% for baby boomers.

More from GOBankingRates

About the Author

Yael Bizouati-Kennedy is a full-time financial journalist and has written for several publications, including Dow Jones, The Financial Times Group, Bloomberg and Business Insider. She has also worked as a VP/Senior Content Writer for major New York-based financial firms, including New York Life and MSCI. Yael is now independent and most recently co-authored the book “Blockchain for Medical Research: Accelerating Trust in Healthcare”, with Dr. Sean Manion. (CRC Press, April 2020) She holds two master’s degrees, including one in journalism from New York University and one in Russian studies from Toulouse-Jean Jaurès University, France.