Pay transparency in job postings more than doubles in past 5 years: report

But posted salaries rarer in white collar jobs, finds Indeed

Pay transparency in job postings more than doubles in past 5 years: report

Pay transparency in job postings in Canada has become far more common compared to five years ago.

Nearly half (49 per cent) of Canadian job postings on Indeed in February 2024 featured pay information, up from 22 per cent in early 2019, according to an Indeed report.

“Among postings that included pay information last month, almost three-quarters offered wages in hourly terms, slightly less than one in four advertised annual salaries, and far smaller shares quoted pay in monthly, weekly, or daily frequencies,” says the report.

Eighty per cent of Canadian managers are now including salary ranges in want ads, according to a previous Robert Half report.

Why is pay transparency far less common among white collar jobs?

Posted salaries are most common among the following sectors, according to Indeed:

Sector

Percentage of job postings with pay information

Sports

71 per cent

Community and Social service

65 per cent

Personal Care & Home Health

65 per cent

Security & Public Safety

64 per cent

Medical Information

64 per cent

Nursing

64 per cent

Therapy

64 per cent

Cleaning & Sanitation

63 per cent

Education & Instruction

63 per cent

Driving

63 per cent

 

However, posting pay information on job ads is rarer among white collar jobs, according to Indeed:

Sector

Percentage of job postings with pay information

Banking & Finance

21 per cent

Software Development

25 per cent

Civil Engineering

26 per cent

Industrial Engineering

26 per cent

Electrical Engineering

28 per cent

Information Design & Documentation

29 per cent

Mechanical Engineering

30 per cent

Retail

33 per cent

Project Management

33 per cent

Insurance

33 per cent

 

The best predictor of posted salary prevalence was related to the type of pay – hourly vs. annual – employers usually offered, notes Indeed.

“Transparency was generally lowest among occupations where annual pay was more common. The share of postings in February 2024 mentioning pay was lower than the economy-wide average in 11 of the 12 occupations in which annual salaries made up a majority of posted wages (real estate the lone exception).

“Conversely, none of the 10 sectors with the highest rates of transparency quoted more than 20% of their wages and salaries in annual terms. Employers might be more wary of posting pay in annual, rather than hourly terms, as the latter still provides some flexibility in determining overall labour costs.”

Ontario and British Columbia have introduced pay transparency legislation in their own jurisdictions. Meanwhile, Starbucks has also started implementing salary transparency.

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