OCTOBER - NOVEMBER 2025HR TECH OUTLOOK9architecture and/or not having full clarity on what factors are considered in pay decisions. You can only ensure consistency and fairness in application when everyone is clear on how to apply the system. The same core principles apply to career equity: having a career architecture that builds an understanding of the unique roles that exist in the organization and the skills and knowledge required is critically important, as this helps with identifying possible career paths. Having clarity on how to navigate and use this career architecture is a critical enabler. In addition, a clear and consistent understanding of how to navigate the system and having clear processes are equally important to support equitable career opportunities. Uncovering Hidden Pay Gaps with AnalyticsRegression analysis is a well-known statistical method used for uncovering hidden pay gaps, which allows organizations to take account of objective reasons for differences (e.g.,performance, experience) and test if these are consistently applied across different demographic groups. For organizations that are smaller in size and might struggle to run meaningful regression analysis due to headcount limitations, a simpler comparison of averages between groups that perform the same work or work of equal value might be your starting point, followed by more manual checks for those groups that show pay gaps above 5% to understand if gaps can be explained. Sharing Equity Insights without RiskLeaders should try to keep it simple and avoid using too much technical jargon. In particular, the concept of regression analysis can be difficult to explain to a wider audience, which can lead to misunderstandings. You can create a culture of trust and transparency without over explaining the details of the analysis. Share in simple terms how pay is managed and how the organization ensures pay equity and fairness, reminding the audience what pay equity actually means (i.e., it does not mean that everybody needs to be paid exactly the same). You can touch on the foundational elements and processes that are in place to ensure the delivery of pay equity (job frameworks, pay structures), reward policies and the factors that are considered when making pay decisions (e.g., performance, experience) and the regular checks/reviews undertaken to ensure the delivery of pay equity. Making Equity Core to LeadershipPay equity needs to become second-nature to all leaders, and something they take responsibility for, rather than being an annual review that's conducted by HR. Make it a habit that internal equity is a key consideration in any pay decision (i.e., how do we pay individuals who perform broadly similar roles in the organization? Would I be able to explain the difference in pay with other incumbents?). Lead by example and make sure that there is clarity and transparency on how pay and careers are managed in the organization. The more clarity there is, the easier it will be for other leaders and managers to apply this with consistency. Pay equity needs to become second-nature to all leaders, and something they take responsibility for, rather than being an annual review that's conducted by HR
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