Huge salary imbalances between CEOs and the people who work for them can send bad vibes throughout an organization, weakening loyalty and eroding the talent pool.

(Charles O'Reilly) 

Salary imbalance causes persistent ongoing conflicts and high unproductive costs in companies and societies.

Let`s talk about the rightful and fair reward systems.

Money is still one of the most important languages in which a company speaks to its employees. Is the salary calculation of most companies transparent and explainable for their employees? If the majority of these employees accepted their salary as fair and righteous, the more these employees are motivated and committed to the achievement of planned business results. Quite apart from the so-called young talents and top performers are increasingly aware of all companies in which it is fair in terms of salary calculation and verification approach. There are unfortunately still far too few companies, which have developed accepted 'compensation policies "and also published them to use it as an integral part of their employer branding.

HR experts are now secured, for example, that the absolute level of income for the performance is not so necessary and significant, but primarily on the cross-comparison with others. The relative levels of total-compensation to their colleagues and bosses are more important.

The salary considered to be just is a hygiene factor. In every business community.

Because this theme, especially about concerning to variable compensation components, has won considerably more social importance. This Community offers a discussion platform, intended not only to all experts and leaders in business and management but also to all others who see themselves as "affected".

In this LinkedIn graphic, you can see the statistic nonsense effect between "construction" and "education" because in construction much fewer women work than in education.

It remains silly even if one of the supposedly 20 percent difference calculated to 6 percent down. This can be done statistically with all conceivable employee groups.

Neither average nor medians are a suitable basis for salary differentiation decisions.