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Open Pay Systems

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Q Some companies have adopted “open” pay systems, where pay-related information is fully transparent across the organization. For example, at Whole Foods, an employee can ask to see the salaries of other employees simply by requesting a meeting with an HR representative. Do you believe this is a good idea? Please briefly explain why. Two additional perspectives to consider: (1) Would you be interested in knowing the salaries of your coworkers? (2) Would you mind if your coworkers knew your salary?

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I do not feel that an open payment system is a good idea. It is that information that the organization should not disclose with each of their employees. The compensation program makes the company's salary open to the public, including the individual wage levels of each employee. This open pay system could create an awkward situation for co-workers who are paid less than their peer employees. In my opinion, salary is more personal to an individual and must not be disclosed t other employees. It could lead to conflicts and can create confusion in the mind of the employees.