Fairness in the workplace remains top of mind and is a consistently moving target that companies must keep a tight focus on. Unsurprisingly, the frequency with which CEOs talk about issues of equity, fairness, and inclusion has increased by 658% since 2018, according to Gartner—and it’s not stopping anytime soon.
Should companies adjust pay for employees who move to areas with a lower cost of living? By 2021, Marketplace reported that 22% of Americans moved or permanently relocated in a response to effects from COVID-19.
In effect from this employee location shift, employers were surveyed to assess whether compensation would be adjusted. According to Pearl Meyer’s report, 4.3 percent of companies surveyed said they would reduce employee cash compensation if they moved to a lower-cost geographic area, while 56.5 percent said they would not.