A Big Win for Women & Minorities
Mar 07, 2018
Recently, a number of states and municipalities have impacted "salary history bans" that prohibit employers from asking about candidate salary history and setting pay based on previous salary history. This is exciting news for many job applicants; no longer will their previous lower salaries due to their age, sex, or race impact their future salaries. This does not mean that everyone will be paid equally for the same job and level of experience starting today, but it does provide a paved path to closing the gap. An experiment conducted by economist Linda Babcock of Carnegie Mellon University revealed that when a woman did not disclose her salary, she earned 1.8% less than the woman who provided her salary history. On the contrary, if a man declines to disclose, he is paid an average 1.2% more on average than ones who disclosed. When there is no data available, everyone has a chance to get the pay rate they deserve, though pre-conceived notions will still play a role.
Currently, Oregon, California, Massachusetts, New York City, and Delaware have new legislation banning this practice. We are excited to announce that Frost & Sullivan joins companies like Amazon, Facebook and Google to lead the way in making it a nationwide policy. Frost & Sullivan’s Human Resources Manager Marisa Landez says, “As a result of the salary history ban laws, we have modified our application process and will no longer be asking job applicants about their salary history. Moving forward we will be asking for the candidates ‘desired’ or ‘expected’ salary when negotiating potential pay and we will ensure that we have set salary ranges for open positions to guide our processes. As a company, we want to fully embrace these changes for all our locations and our talent screening processes.” This is a valuable lesson for all companies. If you want the best talent, and you want to remain competitive, you must approach salary negotiations based on the applicant’s level of knowledge, experience, and capabilities. As a bonus, you get the diverse workforce needed for the growth and innovation you need to compete in the next few decades.
Frost & Sullivan has implemented a program called GLOW (Growth & Leadership of Women). The past year has seen invaluable training sessions, motivational speakers, changes in human resources policies, and productive think tanks around the globe, making the company a leader in the women’s movement. Interestingly, these sessions and changes have had an impact on almost all employees, enabling them to make changes that accelerate their career growth.
Frost & Sullivan is a growth partnership company focused on helping our clients achieve transformational growth as they are impacted by an economic environment dominated by accelerating change, driven by disruptive technologies, mega trends, and new business models.
This May marks my 22th year with Frost & Sullivan. Being part of a fast-growing company and dynamic industry, an entrepreneurial culture, and a fun environment is invigorating and worth every moment. My professional and volunteer experience includes business and strategy planning, product and vertical market analysis, growth consulting, event planning and execution, sales and marketing, web design, and most importantly, creating and inspiring teams to be best in class. Consulting projects have ranged from strategy development to white papers to end user analyses. My focus now is to guide visionary CXOs and IT leaders through the next era of digital transformation with the help of a IT experts and analysts across all industries. Prior to joining Frost and Sullivan, I worked for Smith Barney for 5 years in its accounting division handling incentive compensation plans. In this position I was responsible, from an accounting and payroll perspective, for the capital accumulation and deferred compensation plans of top management and account executives. Thereafter, I worked as an account executive at Edward Jones, a brokerage company for approximately one year. In these positions, I learned much about the operations of a financial company, financial instruments, and sales techniques.