Salary increase only by changing jobs: knowledge gap and fair salary


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More than one in two employees in Germany believes that it is only by changing their job that they can noticeably increase their own salary. The cause: Salary transparency is in the majority Company not uppercase. Although most workers would like to better understand what pay is common and fair, as a recent study shows.

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Fritzi Roth Fritzi Roth_GlassdoorDACH Fritzi Roth is a product specialist at Glassdoor DA-CH.

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7 of 10 employees lack transparency in the Company

Overview

The salary of colleagues is a taboo topic in Germany. Only about one in four employees in Germany (28 percent) indicates that salaries are disclosed internally within their company. Most, however, are in the dark. This is shown by the results of the international study Glassdoor Global Salary Transparency Survey, in which more than 8.000 employees from seven Western nations were interviewed on the subject of salary transparency.

Compared to the other countries, Germany is in the last third and just ahead of Switzerland, where only 25 percent of the employees know about the salary of their colleagues. The majority of the working population in Germany would want (69 per cent) to better understand which salary is customary in the market - as measured by their own competencies, taking their job, company and industry into account.

Every second sees job change as the only chance for salary increases

Overview

The uncertainty seems to be primarily affecting ambitious middle-aged workers - and not exactly in the sense of the employer: 64 percent of the 35 to 54-year-olds believe that they can only increase their salary by switching to another company.

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Across all age groups this is still the case for more than one employee (57 per cent). A lack of transparency can have a significant impact on whether employees are looking elsewhere on the labor market.

Knowledge gap in the field of content transparency

Overview

Especially for women, it is difficult to classify their own market value. The results reveal that only 38 percent of women are informed about the payment of the employees at the various hierarchical levels. By comparison, in the case of men, every second person is given the opportunity to have a good understanding of the payment of the colleagues at the various hierarchical levels at his employer.

An open attitude on the part of employers would have a positive effect on the business. Around two thirds of employees believe that transparent salaries increase employee satisfaction (62 percent) and boost business (65 percent).

Satisfied employees remain in the company

Overview

The message to employers is clear: salary information should not be tabooed.

Companies that provide a better understanding of fair pay and the development potential of salaries at different hierarchical levels are encouraging the commitment of employees. And these tend to tend to remain faithful to the company.

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German edition: ISBN 9783965960220

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English version: ISBN 9783965960237 (Translation notice)

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