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Nearly half of businesses lag behind on pay transparency – Cezanne

Most HR professionals (87%) said staff expect clear visibility into pay structures, with transparency now seen as a sign of fairness and trust. 

Nearly half of businesses lag behind on pay transparency – Cezanne
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Nearly half (45%) of UK businesses said they are behind on pay transparency, while just 18% said they are ahead, according to research from Cezanne. 

Most HR professionals (87%) said staff expect clear visibility into pay structures, with transparency now seen as a sign of fairness and trust. 

Despite this, only 35% of organisations currently publish salary bands for all roles. 

Market competition was the main reason for change at 49%, followed by employee pressure at 27%.

Barriers to progress are mainly cultural and confidence related. 

23% of HR professionals said fear of employee backlash is the biggest obstacle, while 31% said they are not confident explaining pay decisions. 

57% said this could lead to staff resentment. Leadership resistance and the complexity of pay structures were both cited by 26% as barriers.

Simon Noble, CEO at Cezanne, said: “Labour’s proposed pay transparency reforms could transform the UK employment landscape, but our research shows many employers are still playing catch-up. 

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“With 87% of HR professionals saying employees now expect open pay structures – and nearly half admitting their organisation is behind – the pressure to act is clear.

“The challenge isn’t a lack of data or technology; it’s cultural and operational.”

Noble added: “Employers are grappling with complex pay structures, rising salary expectations and, in some cases, a fear of employee backlash.

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“To make transparency work, businesses need a phased, supported approach built on strong leadership and confident communication. 

“By embedding trust, fairness and consistency into their pay frameworks, organisations can turn transparency from a compliance risk into a genuine competitive advantage.”

The data also showed that only 6% said employee expectations around pay have stayed the same over the past two years, with 55% saying expectations have “significantly increased”. 

43% of HR professionals said fairness across peers matters most to employees, compared to competitive pay or progression.

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