How many employers reveal pay in job ads?

Canada lags behind other countries when it comes to salary transparency

How many employers reveal pay in job ads?

When it comes to pay transparency, Canadian employers are less inclined to disclose salaries in job listings.

Two-thirds (66 per cent) reveal pay in job ads, compared to 78 per cent in the U.S. and 80 per cent worldwide, finds Indeed Canada.

Almost nine in 10 (88 per cent) respondents who indicated that their company does disclose the salary on job postings agree this has been beneficial in the hiring process. 

And a similar percentage (63 per cent) feel that all employers should disclose salaries in the hiring process, compared to 33 per cent who disagree, finds the survey of 1,000 employers of office workers.

A further 70 per cent of respondents at employers that reveal salaries in job postings say pay disclosure has been beneficial in decreasing pay gaps.

Pay transparency can be a great tool for recruiting talent – but there are potential downsides to consider, says one expert.

Keeping pay concealed

So, why are some employers reluctant to pull back the curtain on pay?

Just over two in five (41 per cent) respondents say it’s because they determine new employees’ salaries based on their experience and skills.

A further third (34 per cent) say it’s because they are open to negotiation and do not want to limit applicants, finds Indeed.

Last year, as a part of amendments made to Canada’s Employment Equity Act, businesses with more than 100 employees were mandated to provide more detailed salary data that will be made public beginning in this year.

A recent study suggests salary histories — where employers ask about past compensation — could be a factor when it comes to pay gaps for women and minorities.

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