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Thursday, August 30, 2012

Employers That Forbid You From Telling Others What You Make


My jaw hit the floor earlier this month when I tuned in to a Marketplace report that noted that there are employers that contractually forbid employees from telling anyone how much money they make.

It's a free country, and private employers can do what they wish in this respect, though plenty of companies (and many public employers) make a point of sharing salary data so there is no question about who is making the most (and, hopefully, why).

I doubt that a clause in an employment agreement mandating salary silence would be a deal killer for anyone in this economic environment. But doesn't this sort of mandated vow of silence raise suspicions in the eyes of people who work for these employers? What are they hoping to hide from their employees, and why?

If you work (or have worked) for such an employer, please name it below and tell us a bit about why you think the rule came to be and whether it was a good or bad thing.