Do Indian Employees Experience the Lowest Level of Pay Unfairness Globally?
Synopsis
Key Takeaways
- India has the lowest level of pay unfairness sentiment globally.
- Only 11% of Indian workers report dissatisfaction with their pay.
- Pay fairness sentiment is improving worldwide.
- Significant gender pay gaps persist in multiple countries.
- Dissatisfaction with pay decreases with age in India.
New Delhi, Nov 4 (NationPress) Recent findings indicate that perceptions of fair compensation are on the rise globally, with the proportion of workers feeling they are inadequately compensated dropping from 31 percent to 27 percent year-on-year, according to a report released on Tuesday.
Among the 34 markets surveyed, India stands out with the most positive sentiment regarding pay fairness, as only 11 percent of employees express dissatisfaction with their wages, as reported by human capital management firm ADP.
The report highlights considerable variations across different regions, with South Korea and Sweden exhibiting the highest sentiments of pay unfairness at 45 percent and 39 percent, respectively.
Moreover, substantial gender pay gaps remain prevalent in various countries, as over 30 percent of women in 15 out of 34 markets report feeling underpaid, in contrast to just five markets for men.
Interestingly, in India, a greater percentage of men (12 percent) compared to women (9 percent) perceive their compensation as unfair.
Dissatisfaction with pay in India tends to decline with age, falling from 13 percent among those aged 18-26 to merely 5 percent for individuals aged 55 and older, which contrasts with the global trend.
“Fair pay transcends mere compensation; it embodies a conversation of trust. When employees feel they are compensated justly, their engagement, motivation, and loyalty significantly increase,” remarked Rahul Goyal, Managing Director of ADP India and Southeast Asia.
India's favorable stance on pay fairness signals progress in equitable remuneration practices. Nonetheless, employers must ensure that fairness encompasses not only salary but also opportunities, growth, and recognition to promote sustained employee engagement, the report suggests.
In an earlier report in October, global payroll and compliance platform Deel indicated that the median salaries for men and women in India are closely aligned, ranging from $13,000 to $23,000, reflecting a commitment to growing pay equity and the implementation of data-driven compensation strategies.