286 words…about a minute read

One big thing: New laws regulating pay transparency and equity are forcing companies to speed up the development of pay disclosure strategies and determine whether to disclose salaries voluntarily — even where it’s not legally required.

• These regulations aim to create disclosure and transparency requirements, which empower employees to make informed career decisions.
• Compliance is important — and many multinational companies may not be fully aware of the degree to which they must comply with the EU Directive on Pay Transparency or other regulations in jurisdictions where they are hiring.
• Brooke Green, head of Human Capital for North America, and Kelly Voss, head of rewards and career advisory for North America, recently spoke to HR Brew about how multinational organizations need to prepare for these regulations. Read the full story here. They also appeared on the “On Aon” podcast, listen to the epsiode here.

Zoom out: Pay transparency laws are sweeping the globe and companies must act quickly to assess their disclosure and communication strategies. This includes U.S. companies with employees in the EU, who must ensure their company is prepared for potential implications and opportunities.

 By the numbers:

• The average estimated gender pay gap across the EU is 13 percent.
• More than 20 U.S. states have restrictions on asking applicants about their salary history.
• 14 percent of companies say workers have quit after seeing jobs with higher pay following transparency laws.
• 42 percent of HR professionals say their organization operates in locations that require pay ranges on job postings.

Ensuring fair and transparent pay is a top trend for HR leaders to watch for in 2024. Read how Aon helps clients prepare for the rise in pay transparency to build sustainable pay transparency and pay equity strategies.