We’re evolving. Mercer is now part of the new, expanded Marsh brand

Global Pay Transparency Report 

Pay transparency under pressure: How ready are employers? 

This report highlights the growing importance of pay transparency for organizations worldwide and the need for decisive action. It outlines rising employee and candidate expectations. It details the challenges involved, noting regional differences. The report also offers a playbook to align pay transparency efforts with global business goals, starting with leadership alignment.

Pay transparency is reshaping how organizations attract, retain and engage talent worldwide. Mercer’s 2025 Global pay transparency survey — the largest study of its kind — reveals critical insights into evolving market expectations, company practices and emerging challenges. It covers market expectations, company actions, the impact of technology, risk management and the role of benefits in pay transparency. 

77% of organizations globally are developing a pay transparency strategy

Pay transparency is no longer just a compliance checkbox — it is a strategic imperative. While many companies still treat pay transparency narrowly, focusing only on meeting legal requirements, Mercer’s research reveals a growing movement of employers using these regulations as a catalyst for broader change:
70%

of respondents anticipate that pay transparency will improve pay equity within the company

63%

of organizations understand that pay transparency is an expectation of candidates

58%

of companies say pay transparency is an expectation of employees

These forward-thinking organizations are re-evaluating how they design, explain and govern pay. They are building clearer structures, stronger narratives and greater trust with employees and candidates.

Today, employees and candidates are asking more direct questions: 

  • How is my pay determined? 
  • How does it compare to my peers?
  • What is my future earning potential? 
Pay transparency is far more than a theoretical ideal — it is a real test of how prepared employers are to stand behind their pay decisions.

Employees who believe they are paid fairly are 60% more committed to their organizations.

Effective investment in pay transparency hinges on three main elements:

ensuring executives and business leaders share a clear understanding of their organization’s transparency goals.

establishing consistent frameworks that clearly define roles, levels and pay ranges, making them easy to analyze and communicate.

implementing effective tools that unify pay, benefits and workforce data, enabling seamless insights.
Global Pay Transparency will be ignited in June 2026 by the EU - beyond compliance organizations that thrive will use this opportunity to streamline data, organizational structure, policies and practices to drive key strategic initiatives and inclusion
Lucye Provera

Fair Pay Leader Europe & UK, Mercer

About the author(s)
Gordon Frost

Global Rewards Leader, Mercer

Lucye Provera

Fair Pay Leader Europe & UK, Mercer

Tauseef Rahman

Global Pay Transparency Solutions Leader

Sean MacHale

Partner, Europe and UK Rewards Leader, Mercer

Lucy Brown

Fair Pay and DEI Leader UK, Mercer

Related products for purchase
Related solutions
Related insights