Pay Transparency: Difficult Conversations

Open conversations about pay aren’t easy—but it’s a skill worth developing.

Whether you’re a manager or a team member, having open, honest conversations about compensation supports a healthier, more equitable workplace. For managers, this means ensuring your team is paid fairly and understands how their compensation is determined. For employees, advocating for what you deserve is a key step in your professional growth.

Here are eight practical steps to foster a culture of pay transparency and handle those often difficult conversations:

1. Know your rights and company policies

Start by understanding your legal rights and your employer’s stance on pay transparency. In many regions, laws protect your ability to talk about salary with colleagues. Some even require companies to share pay ranges in job postings. Knowing what’s allowed—and expected—helps you speak up with confidence.

2. Do your research

Before initiating any conversation about salary, gather reliable data. Industry benchmarks, salary comparison tools, and professional networks can all help you understand what fair pay looks like for different roles and experience levels. Even if colleagues in the same role are paid equally, their compensation might still fall short of market rates.

3. Assess impact

Know your worth beyond the job title. Consider your achievements, the ways you’ve exceeded expectations, and how your work supports the broader team or company goals. When you can point to specific wins, you’re in a stronger position to advocate for yourself.

4. Listen with openness

Pay conversations aren’t one-sided. Listen carefully to feedback about your performance, your company’s compensation structure, and any timing considerations. These insights can help shape the conversation and set realistic expectations for what’s possible.

5. Practice transparency

Once you’ve done your homework, approach the conversation with clarity and professionalism. If you believe your pay doesn’t reflect your contributions, explain why—factually and respectfully.

6. Choose the right moment

These conversations should be intentional, not impulsive. Pay attention to the timing—ideally aligning with performance reviews, project completions, or budget planning cycles. Good timing can lead to a more productive outcome.

7. Plan for different outcomes

Prepare for how you’ll respond to a “yes,” a “no,” or a “not yet.” Thinking through potential scenarios ahead of time can help you stay grounded, avoid making snap decisions, and keep the conversation constructive.

8. Follow up in writing

After your conversation, send a short follow-up email to summarize the discussion and outline next steps. This keeps things clear, helps prevent miscommunication, and shows you’re serious about moving forward.

Final thoughts and resources

By preparing thoughtfully, listening actively, and communicating clearly, you can turn a difficult conversation into a productive one. Looking to build more confidence in these moments? Explore our curated public list to sharpen your skills in navigating pay transparency and other high-stakes conversations.