Federal law protects the right of employees to communicate about their wages. The National Labor Relations Act (NLRA) safeguards concerted activities for the purpose of collective bargaining or other mutual aid or protection. Discussing compensation is considered a protected activity under this act, enabling workers to identify potential pay disparities and advocate for fair wages. For example, if several employees discover through conversation that they are paid differently for performing similar roles, they can collectively address this issue with their employer.
Open communication about compensation plays a crucial role in promoting pay equity and transparency. It empowers workers to negotiate fairly, reducing the likelihood of discriminatory practices. Historically, pay secrecy has often perpetuated wage gaps, particularly affecting women and minorities. The ability to openly discuss compensation helps to level the playing field and ensure fair treatment for all employees. This transparency can also lead to increased job satisfaction and trust in the employer.