You may have noticed that it was “Equal Pay Day” this Tuesday. After seeing it make headlines you might have wondered, like we did, where this day originated, and why it’s still significant today. President John F. Kennedy signed the Equal Pay Law in 1963 which made it illegal to pay women lower rates for the same job as their male counterparts based on their gender. In 1963, women earned 59 percent of men’s wages. By 2000, women earned 74 percent of men’s wages. As reported by a Pew Research study from 2016, the gap still exists today. It’s not ideal that the disparity still exists on a global level, but how are you supposed to handle finding out a co-worker in your same role with the same length of tenure is making more than you? Here are three things you can do to act on the news.
- Remain calm
Upon gaining the information that your co-worker who has a similar background and length of tenure at the company is earning more than you, you might want to storm into your boss’s office with your new knowledge. You might also feel like making a visit to your co-worker’s office and ask how they got such a big salary for doing the same job as you. Do not do either of these things, no matter how good you think it might feel to express your thoughts and feelings. Instead, take a walk, phone a trusted friend from home later that night, and find a way to channel your potential feelings of anger and frustration. Feeling both of those things is a normal reaction, but acting on them right away will generally backfire.
- Do your homework in your industry and your situation
At face value, it may seem that your co-worker has the same credentials and background as you. However, there are other variables that could have led to the pay discrepancy. Did you get promoted to your role internally and your co-worker was hired from the outside? Someone hired from outside the company may have negotiated a higher salary when he or she joined the organization. You both may have college degrees, but did your co-worker go to an Ivy league school? That can impact a job offer. And lastly, are you sure you know you both have the same credentials? We would encourage you to do your research on your entire industry, not just the co-worker that is earning more than you. This problem might be systemic. Everyone at your company might be earning less than your industry is paying. So even if you do ask for a raise, you might still be undervalued even after you receive a pay increase. If that’s the case, it might be best to kick off your job search. In addition, if you decide that you want to seek a new opportunity, enlist a recruiter to help. Your recruiter will also be able to give you a good picture of the market and confirm where you’re at in comparison to your industry peers. Resist the initial urge to go in and quit your job until you know the facts!
- Ask for a raise
When you have all the information, you should ask your boss for a raise. Don’t start the conversation with something like, “It’s come to my attention that my co-workers are making more money than me.” Rather, start the conversation with something like, “I’ve been working really hard, and I am really happy here, I’m hoping you can tell me what I can do to get a ten percent raise in my next review?” Your industry research will also pay off here if your boss wants additional reasons behind your motivation for requesting a raise. As long as you’re able to present a strong case, are asking for a realistic salary change, and don’t raise your new knowledge of your co-worker’s higher salary as your reason behind requesting the salary increase, you’re likely to be successful.
Hearing a co-worker is earning more than you for performing the same job is never fun information to discover. However, you can get through it, and may even get a raise as a result of having this information. Just remember to stay calm, channel your frustration outside of the office and be realistic about what you do with this information.