By Chron Contributor Updated July 14, 2020
Discussing your salary information with your coworkers can lead to serious problems at work. While it's not technically illegal to discuss your salary, this talk could damage your workplace environment and get you in trouble with your employer. There are a few situations where it might make sense to talk about your salary, but you should handle them delicately so they don't backfire on you.
Legality
Your right to discuss your salary information with your coworkers is protected by the federal government. According to The New York Times, the National Labor Relations Act states that employers can't ban the discussion of salary and working conditions among employees. This would prevent employees from organizing themselves effectively and give employers an unfair bargaining edge.
However, this law doesn't guarantee you access to salary information. Only your coworkers can tell you their salaries. You can't force the human resources department to release this information. In some cases, your employer may want you to sign an employee salary confidentiality agreement, which would bar you from discussing this information freely.
Reasons Not To Discuss
Discussing pay with coworkers might create problems if you discover that your coworkers make more than you, as you could start feeling jealous and resentful. If you make more, the reverse could occur and your coworkers might become resentful of you.
As such, this discussion could badly damage the morale and teamwork in your workplace. You could also get in trouble with your employer, especially if he asked you not to discuss salary information. While your employer can't fire you for discussing your salary, he could make your job unpleasant or start looking for other reasons to let you go.
Reasons to Discuss
Despite the risks, there are a couple situations when it's worthwhile discussing your salary with your coworkers. If there's a good chance that you're significantly underpaid compared to your coworkers, it makes sense to have this talk. This way, you have a range to keep in mind when you try to negotiate a better salary with your employer, according to Monster.
It also makes sense to tell your salary to coworkers if you think everyone is underpaid. There are websites where you can compare your workplace's average salary to salaries for similar positions in other companies. If everyone is underpaid, you can work together to come up with a plan to convince your employer to raise wages.
Handling the Talk
If you are sharing salary information, you need to do so with care. Make sure to only talk with coworkers you trust. Everyone involved in the discussion should promise to keep the information to themselves, no matter what they learn.
An even safer way to learn the salaries of coworkers is to talk with those who have already left your company – or at least moved to another department. Lastly, never talk about your salary during work hours. You should save this discussion for an official break or after work. Otherwise, you're wasting company time in addition to having a risky discussion.
FAQs
When you and another employee have a conversation or communication about your pay, it is unlawful for your employer to punish or retaliate against you in any way for having that conversation.
Is it OK to share your salary with coworkers? ›
It's legal for employees to discuss their wages with one another under both the California Equal Pay Act and the National Labor Relations Act. No employer may retaliate or otherwise reprimand employees for talking about their pay rates, benefits, or other forms of compensation at work.
Is it OK to tell someone your salary? ›
To elaborate and put context on my stance, you can reveal your salary to other people. However, I would advise that you reveal it only to people who need to know about it.
Can you tell an employee their salary is confidential? ›
Is It Legal To Stop Employees From Discussing Their Salary? No, you cannot stop employees from discussing wages. A number of states have enacted pay equity or pay transparency laws that protect all employees' ability to discuss their wages—even those in the C-suite.
Is it inappropriate to ask coworker salary? ›
Sometimes, it's best to keep things vague. “Do not ask coworkers about specific salary figures,” Porter said. “Instead, with close colleagues, you can comfortably ask about salary range if there is some concern about your own compensation package.”
Why can't you share your salary? ›
It can expose unfair wage practices
The ratio for white women stood at 83 percent.” When employees share how much money they make, those who tend to suffer from repressed wages will soon find out how much less they are getting paid—putting pressure on the company to address the inequality.
Why should you keep your income private? ›
If you start telling people how much you make, you're inevitably going to make people feel bad if they make less than you. And when you make people feel bad about their financial situation, you will no longer get their love and support. Some people will inevitability get envious of your higher income.
Is it rude to share your salary? ›
You might have grown up hearing that talking about finances in front of others was rude. However, this does not mean publicly discussing your finances is illegal. Federal law prohibits your employer from disciplining or firing you for discussing your pay and benefits with your coworkers.
Why is discussing salary taboo? ›
From an early age, society instils the idea that discussing what you earn is a private affair – it is impolite and too personal to talk about. These deeply ingrained social norms discourage people from being open but this could potentially create a block in their career progression.
Who should know your salary? ›
Salaries are generally considered confidential information, and only shared on a need-to-know basis. So your manager will know your salary if they need to know it.
Several states — including California, Delaware and Colorado — have recently passed laws banning employers from penalizing workers for discussing their salary or inquiring about colleagues' compensation.
Can my boss tell everyone my salary? ›
Even in states where you can discuss your salary with your coworkers, your boss is not legally allowed to disclose information about your salary.
In what states is it required to disclose salary range? ›
California Wage Transparency Laws
Effective January 1, 2023, California employers with at least 15 employees, and with at least one located in California, must share pay scales in job postings. The posting need not be for a job that is performed in California; the law applies to remote work positions too.
Should I tell my coworkers I got a raise? ›
Unless you agreed in writing to keep your own salary confidential, then you should be free to exercise your right to disclose it. If you want to hedge, you could say, “I know for a fact that raises have been given.” And yes — your friend should get another job.
Is it illegal to ask someone their salary? ›
Equal pay for equal work. Sounds simple, right? But in California, it's not only a principle, it's a law. In 2018, the state enacted a law that made it illegal for employers to ask about a candidate's previous salary during the hiring process.
What to do when a coworker with less experience makes more than you? ›
If you know that one of your coworkers is being paid significantly more than what you are making, ask your manager if they will match the amount. This will make it clear that you believe that you are worth the same as your coworker and may give your manager an incentive to consider increasing your salary.
Can I disclose my salary to coworkers reddit? ›
No its not unprofessional, and no, it's not illegal either, despite what HR or your managers tell you. Only bosses who aren't paying everybody properly don't want you discussing your wages!
What are illegal things the employer cannot do? ›
An employer may not base hiring decisions on stereotypes and assumptions about a person's race, color, religion, sex (including gender identity, sexual orientation, and pregnancy), national origin, age (40 or older), disability or genetic information.
What is pay secrecy? ›
Pay secrecy policies, also called pay or salary confidentiality rules or “black box” compensation systems, prohibit employees from discussing their wages with other employees. Employers often claim that pay secrecy is needed to help “morale” or to “control” finances.
