askST Jobs: Should you tell a colleague how much you earn?

Employers generally do not encourage employees to discuss salary information widely. PHOTO: ST FILE

In this series, manpower reporter Tay Hong Yi offers practical answers to candid questions on navigating workplace challenges and getting ahead in your career. Get more tips by signing up to The Straits Times’ HeadSTart newsletter.

Q: A colleague asked me about my salary package and the bonus I received. Is it appropriate for me to tell them?

A: Employment contracts commonly emphasise that one’s remuneration is private and confidential, says Mr Glen Chua, senior manager at recruitment firm Robert Walters Singapore.

“Nevertheless, there is a growing trend in which employees share their pay data, viewing it as a means to promote fairness and transparency within the workforce,” he notes.

However, he adds: “Despite this shift, it is crucial to acknowledge the possible implications of revealing sensitive salary information, as it may impact workplace relations, considering the inherently confidential nature of discussions about pay.”

In considering whether to disclose their own salary, employees should consider company policy, personal comfort, and potential implications for workplace dynamics, says Ms Annie Lim, a certified Institute for Human Resource Professionals (IHRP) senior professional.

“While acceptable in certain contexts like close friendships or transparent cultures, it is not universally appropriate.”

Ms Lim notes that employees may seek their peers’ figures for benchmarking or to address disparities or inequities.

However, those uncomfortable with disclosing their pay can politely decline, emphasising their need for privacy and expressing a preference to keep compensation information confidential, she suggests.

She also advises employees facing such questions to suggest that their colleague ask the human resources department or company management these compensation-related questions.

Salaries and bonuses can vary between individuals even within the same job role, notes Ms Archana Srinivasan, another IHRP senior professional.

Factors that affect the figures include performance, specialisation within the role, demand and supply, seniority in the role and the company’s financial resources.

Any disclosure should be done discreetly and only when one deems it necessary, says Ms Srinivasan.

“For example, if the request comes from a credible source where confidentiality will be maintained, I’d then be comfortable sharing the details,” she adds.

She also says that while it may seem all right to exchange salary details with close friends, individuals need to consider the risk of the figures being disseminated further.

“Having said that, if it is a friend who is changing jobs and trying to understand the pay levels, then we may provide a salary range as guidance rather than one specific figure.”

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Ms Srinivasan also says that pay secrecy is an unstated expectation in Asia and employers generally do not encourage employees to discuss such information widely.

Employees typically discuss salaries to understand if they are paid right, both in absolute terms and relative to their colleagues, she says.

“In this context, a company’s reward philosophy and pay parity become very important.”

She adds: “There will always be differences, but as human resources practitioners we should do our best to help employees understand why those differences exist.”

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