Pay transparency top concern for workers around the world

According to a new global study, one in five workers feels severely underpaid and that they’re due a huge pay rise.

The international poll of 4,000 employed adults across the U.S., U.K, France, Germany, Singapore and Australia found 18% believe their pay can’t satisfy them, and they would need a 32% pay increase in order to feel like they’re getting paid enough.

Commissioned by G-P (https://www.globalization-partners.com/resources/research-borderless-pay-standard/) and conducted by Talker Research, results revealed that compensation remains top of mind for global workers, highlighting a direct link between employee concerns and pay transparency practices from businesses. Only a third (34%) believe they work at organizations that practice pay transparency, either informally or through a formal policy.

That policy is so important, employees said if their current employer didn’t honor it, they’d either advocate for a formal policy change (37%) or leave the company altogether (18%).

And if they were on the job hunt and prospective employers didn’t offer pay transparency, 37% would ask it to be part of their contract, 17% would ask for more pay and 11% would warn others that are also interested in the position.

Sixty-two percent are aware of how much pay their coworkers receive within their country. And of the 51% who said their company has an international presence, only 49% are aware of how much their international peers make.

Eighty-one percent said pay transparency is important to them, and half (51%) believe there are legal regulations existing today that impact how much they get paid.

Many believe their pay should be impacted by years of experience (69%), individual, professional skillset (66%), location (30%) and local tax rates (24%).

Seven in 10 (71%) said their company should go above and beyond, by following the strictest regulations on pay transparency, even if they don’t operate in regions where it’s regulated.

Over two in five (43%) believe governments should bear the most responsibility to enforce pay equality. Closer to home, 68% of American respondents believe the federal government should mandate pay transparency nationwide.

“A modern working infrastructure means having employees living in different states and even different countries. But global talent now expects more than just local compliance; they seek a consistent standard of fairness that respects regional context,” said Laura Maffucci, Head of HR, G-P. “With the upcoming EU Pay Transparency Directive going into effect, pay transparency is only going to become a more important factor for workers in the future.

“By adapting  EU-level integrity to fit their global operations, organizations can balance local nuances with universal equity, turning regional requirements into a powerful magnet for talent. ”

The study also revealed 40% of workers think AI can make work and pay more equal between themselves and their coworkers. In fact, a quarter (26%) would even trust AI more than human-run HR departments to audit and assess pay equity among themselves and coworkers.

Some respondents shared why they believe AI could be better suited for the task:

“AI can handle and review mass amounts of information and data, far more than a human,” reported one.

And according to another: “AI is often seen as more neutral and consistent because it follows data and rules without personal bias or internal company pressures. Human resource departments may be influenced by company interests, relationships, or internal policies that could affect complete objectivity.”

“The reality is, no HR team, no matter how great they are, can be an expert in every single market or stay completely detached from internal pressures,” said Laura Maffucci, Head of HR, G-P. “By using specialized AI systems—the ones purpose-built for global compliance and local laws—we’re giving our teams a neutral, data-backed foundation for sensitive issues like pay equity.

“This allows AI to handle the objective heavy lifting, freeing HR to focus on the strategic work that requires human judgment and empathy.”