Question 1

What is the difference between pay equity and pay equality?

Accepted Answer

Pay equity means people doing similar work are paid fairly relative to each other, accounting for legitimate factors like experience, performance, and market rates. Pay equality means everyone gets the same pay regardless of role or contribution. Pay equity is the goal. It ensures fairness while recognizing differences in jobs, skills, and performance. SalaryCube helps you achieve pay equity by comparing like-to-like groups.

Question 2

How do I know if my pay gaps are illegal?

Accepted Answer

Not all pay gaps are illegal. Gaps are legal if based on legitimate factors like experience, performance, education, or market rates. Gaps become illegal if they cannot be explained by legitimate factors and correlate with protected characteristics (gender, race, age, etc.). Run pay equity analysis to identify unexplained gaps. Document your pay decisions. Consult legal counsel for specific guidance. SalaryCube helps you find and fix unexplained gaps before they become legal problems.

Question 3

What if I find large pay gaps in my analysis?

Accepted Answer

First, verify the gaps are real (check data quality and groupings). Second, prioritize gaps by size and legal risk. Third, model the cost to close gaps. Fourth, build a multi-year remediation plan if budget is tight. Fifth, document your process and show you are taking action. Do not panic. Most companies have some gaps. What matters is that you identify them, prioritize fixes, and make steady progress. Use SalaryCube to track improvements over time.

Question 4

How often should I run pay equity analysis?

Accepted Answer

Run analysis at least annually before merit or promotion cycles. Run it after major hiring waves or acquisitions. Run it when you notice turnover patterns or employee concerns. Quarterly analysis is best practice for companies with compliance obligations. Use SalaryCube to automate analysis so you can run it more frequently without heavy lift. Track trends over time to show continuous improvement.

Question 5

What factors should I control for in pay equity analysis?

Accepted Answer

Control for job title or job family, level or grade, location, years of experience, tenure at company, education, performance ratings, and any other legitimate factors that influence pay. The goal is to compare employees who are truly similar. If you over-control (too many factors), you may miss real gaps. If you under-control (too few factors), you may flag false positives. Start with job, level, and location as the core controls.

Question 6

Can SalaryCube help with pay equity audits?

Accepted Answer

Yes. SalaryCube helps you prepare for audits by identifying gaps early, documenting your methodology, and showing market data to justify pay decisions. Export reports that show how you analyzed pay and what actions you took. Track metrics over time to demonstrate continuous improvement. Consult legal counsel for audit-specific requirements. SalaryCube gives you the data foundation to defend your pay practices.

Question 7

What if my budget is too small to close all pay gaps?

Accepted Answer

Prioritize the largest unexplained gaps first. Focus on gaps tied to protected characteristics. Spread gap-closing across multiple merit cycles. Communicate transparently about your multi-year plan. Track progress each cycle to show steady improvement. Even small progress is better than none. Use SalaryCube to model different budget scenarios and show leadership the cost vs impact of various remediation plans.

Question 8

How do I communicate pay equity work to employees?

Accepted Answer

Be transparent about your commitment to pay equity. Share that you run regular analysis. Explain your process (compare like roles, control for legitimate factors, fix gaps). Show progress over time without revealing individual salaries. Train managers on how to discuss pay equity. Address concerns promptly. Transparency builds trust even when gaps still exist. Use SalaryCube metrics to show employees you are taking action and making progress.

Capability	What It Does
Job Normalization	Normalize jobs and levels so you compare apples to apples
Group Analysis	Group employees by role, level, location, and other factors to compare pay within each group
Gap Detection	Flag gaps where people doing similar work earn different amounts for reasons you cannot explain
Prioritization	Focus on the biggest gaps first and model the cost to close them
Progress Tracking	Track progress over time to show measurable improvement
Legal Protection	Prevent legal risk and avoid discrimination claims with proactive analysis
Leadership Reporting	Show leaders clear data on where pay is fair and where it needs fixing

Find and fix pay gaps fast

Common Challenges

Legal and trust risk

Cannot find the real gaps

Budget spent with little impact

What You'll Achieve

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Salary Benchmarking

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How to Run Pay Equity Analysis

Normalize jobs and levels

Compare pay within groups

Flag gaps and prioritize

Fix and track progress

Track What Matters

Number of gaps closed

Average gap size

Audit readiness

Why Teams Choose SalaryCube for Pay Equity

Frequently Asked Questions

Ready to Spot and Fix Pay Gaps?