Original scientific paper
https://doi.org/10.3935/rsp.v29i1.1705
Pay Transparency and Its Effects: A Comparative Analysis of Public and Private Sector
Ivana Načinović Braje
orcid.org/0000-0003-4062-5251
; Faculty of Economics and Business, University of Zagreb, Zagreb, Croatia
Andrea Kuvač
; Adecco Hrvatska d.o.o., Zagreb, Croatia
Abstract
This paper explores employee attitudes on pay communication and pay transparency and compares perceptions from private and public sector employees. Primary research was conducted among 353 employees working in the public and private sector in Croatia. Research results indicate that employees from the public sector, when compared to employees from the private sector, showed a more positive attitude towards pay transparency, higher preference for pay transparency and willingness to communicate one’s pay. Employees from the public sector perceive greater beneficial effect of pay transparency than employees from the private sector. The pay communication policy and level of pay transparency can act as additional factors that attract employees to the public or private sector and thus cause employee sorting between the two sectors.
Keywords
pay communication; pay transparency; pay openness; pay secrecy; compensation system
Hrčak ID:
278042
URI
Publication date:
19.5.2022.
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