Your Boss’s Big Little Secret
You have a right to know how much your coworkers are paid — and if you want to close the wage gap, you should.
Iceland recently decided its laws preventing pay discrimination were insufficient. New legislation will require employers to prove that their employees are being compensated fairly. This is a significant advance. Pay secrecy gives employers the power to discriminate against workers, or to pay them based on arbitrary, opaque criteria. Forcing employers to be transparent about compensation puts Iceland at the front of the pack in protecting worker rights. In many countries, including the United States, the onus is on the employee to uncover pay discrimination, and bring about legal action to remedy the situation.
Asking about pay is a delicate subject. We have a strong norm against discussing pay, maintaining the pretense that the motivation to work comes from somewhere other than the need for a paycheck, such as dedication to the enterprise. Pay secrecy is just one tool employers use to keep employees from talking openly about their experiences at work, and acting collectively to improve their situation.
The issue of pay secrecy is particularly fraught for women, who have historically been paid substantially less than men for doing the same work. This is starting to change. In an era of “lean-in” feminism, women have become familiar with research showing that Women Don’t Ask and that starting a career with a lower salary than a man in a similar position can lead to dramatic differences in compensation over the long run. These days, more and more women are asking.