Wednesday, September 29, 2010
I've been searching for tools to make payroll processes transparent. I came across this list of Costco salaries -- all posted anonymously. I'm not sure if this was done by an outside third party or if the process is blessed by Costco internally. Either way, it gives employees and potential employees an idea of where they fit or could fit in terms of pay within the organization. I think this is a step forward into instilling transparency into payroll processes -- but the goal - in a completely open payroll process is for everyone to know what everyone earns and why. This is the only way to avoid litigation and build trust into the system. Think Lilly Ledbetter -- who found out she was paid a great deal less than her male colleagues -- from an anonymous note. Ledbetter's salary and those of her male colleagues were so grossly disproportionate to each other that the only recourse for Mrs. Ledbetter was to sue her employer. The problem would never have escalated to that level if her employer were open and honest about pay. Time to stop hiding behind payroll secrecy. And, can we please get rid of pay bands while we're at it! But, that's for another post.