Pay Equity Using Syndio
In-house pay equity analysis model ran its course
Salesforce initially handled pay equity in-house, using a model built by their data science team. But as the company grew and the team advanced their thinking on pay equity, it became clear that maintaining the model internally had run its course.
“The bigger we got and the more global we got, the more challenging it became to do this in-house,” explains Dunlap. Salesforce decided to partner with a proven expert in pay equity to ensure agility and effectiveness as they scaled.
Two priorities: expertise plus technology
Salesforce sought a partner with a best-in-class software platform whose sole focus was workplace equity. But it wasn’t just about technology. They wanted to work with an expert team who was highly skilled in pay equity and always a step ahead of the latest trends and approaches. Syndio met all of their requirements.
As Dunlap put it, “We chose to partner with Syndio because their core purpose is pay equity, and their team is going to be farther ahead in their thinking, so they could push us and we could learn from them.”
With employees in 28 countries (and growing), Dunlap and his team need to consider varying data constraints, regional laws, and reporting requirements for pay equity. Syndio helps Salesforce manage the complexity of global analysis — both through the guidance of Syndio's experts, and the agility of its Pay Equity Platform, PayEQ
Pay equity pays off
Pay equity analysis — and the associated expense of resolving pay disparities — is often viewed as a fixed exercise of little value beyond mitigating legal risk. But Salesforce recognizes pay equity as both a long-term investment that improves over time, and an employer brand strategy that sets the company apart and helps drive its talent goals.
Today, Salesforces resolves pay disparities annually. And while total remediation hovers around $3 million a year, they have roughly tripled their employee base since their first analysis. This means the average cost per employee has decreased year over year. Dunlap attributes this to the fact that when they correct compensation for an individual, it stays corrected.
As Marc Benioff, Salesforce’s CEO, wrote in his book Trailblazer, Salesforce’s commitment to pay equity has already paid off in “incalculable ways” and “will continue to accrue for years.” He acknowledged that “Equalizing pay wasn’t an easy process, or a cheap one… [but] it has contributed to our ability to attract the very best and brightest talent in the country.”
It’s also contributed to numerous employer accolades, including:
- Fortune’s 100 Best Companies to Work For 2021 (#2)
- Fortune’s 100 World’s Most Admired Companies 2021
- Fortune’s 100 Best Workplaces in Technology 2021
- Ethisphere Institute World’s Most Ethical Companies(12th time)
Pay Equity: enhance and expand
As Salesforce continues to grow, Dunlap will further expand the scope of pay equity. He plans to use the Syndio platform to analyze other forms of compensation (such as stock/equity), ensure fair pay during M&A, merit, and promotion processes, and assign equitable starting salaries for every new hire.