Should Employees Be Talking About Pay? Yes - And Employers Should Let Them
It’s not uncommon for employee handbooks to send a quiet message: “Don’t talk about your salary.” But that guidance can land you in legal hot water.
A recent Ninth Circuit decision serves as a clear reminder: Employees have the right to discuss wages and working conditions, and that right is protected by federal law, whether your workplace is unionized or not.
Let’s break down what employers need to know.
The Law at a Glance
Section 7 of the National Labor Relations Act (NLRA) protects employees' right to engage in “concerted activities” for their mutual aid or protection. While this is often associated with union organizing, the law applies to almost every private-sector workplace, union or not.
Protected concerted activity includes:
Talking about wages, benefits, and hours (even on social media)
Voicing concerns about workplace safety
Speaking with co-workers, government agencies, or the media about workplace issues
Raising concerns as a group to management
If your company restricts these discussions - formally or informally - you could be opening the door to unfair labor practice charges.
Talking About Pay Is a Protected Right
Employees are legally entitled to discuss how much they earn with one another. This includes:
Informal chats among coworkers
Posts on social media
Group discussions about perceived pay inequity or transparency
Employers cannot discipline or retaliate against employees for having these conversations.
That means any company policies, training materials, or manager messages that discourage or prohibit pay discussions should be reviewed and updated. Even well-meaning attempts to avoid “drama” or “tension” in the workplace can inadvertently violate federal labor law.
What Employers Should Do
To stay compliant and avoid risk, employers should:
Review your handbook and training materials. Remove any language that restricts or discourages pay discussions.
Train your managers. Make sure they understand employees' rights under Section 7 and know how to handle these conversations appropriately.
Foster transparency. Consider pay transparency strategies that minimize confusion or mistrust among employees.
Avoid retaliation. Never discipline or reprimand employees solely for discussing wages or other workplace issues.
It might feel uncomfortable when employees start comparing paychecks, but open dialogue about wages is a protected right, and when handled with the right policies and mindset, it can be a powerful force for fairness and retention.
Not sure if your policies are compliant or up to date? We can help review your handbook and manager training materials to ensure you’re staying on the right side of the law, while supporting a workplace culture built on respect and transparency.