Companies Struggle with Pay Transparency Implementation
While most companies are developing pay transparency systems, only a fraction have fully implemented them and trained managers to answer employee questions.
A new survey, the 2026 Pay Transparency Pulse Survey by Aon, indicates that 82 percent of nearly 1,000 companies are in the process of establishing pay transparency systems. However, only 11 percent of these have fully implemented and embedded these systems into their operations.
This reveals a significant gap between companies' progress in clarifying pay structures and the operational functionality of their systems. Merely five percent of respondents reported that their pay equity remediation procedures were complete, and only 20 percent had utilized them to address employee inquiries.
Pressure for increased pay transparency is mounting from employee demands, particularly from younger generations, as well as from legislation in numerous U.S. states and the European Union. The EU directive mandates greater pay clarity for companies in member nations, yet only 21 percent of businesses in the bloc have actively begun this pursuit.
Aon emphasizes that companies should focus on building sustainable pay transparency models, including clear decision-making logic, tested response processes, strong managerial capability, and governance that spans markets. Simply creating policies is insufficient; data must be accurate, and managers must be capable of explaining pay decisions in compliance with local regulations.