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Welcome to What the Comp, the Pay Strategy podcast, where compensation stops being confusing and starts making sense for real organizations.
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I'm Jennifer Loftus, National Director at Astron Solutions.
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And today we're talking about pay communication mistakes.
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More specifically, we're talking about what managers say that breaks trust without realizing it.
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Because here's the truth.
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Most managers are not trying to damage trust when they talk about pay.
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They are trying to get through a difficult conversation.
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They're trying to explain a decision.
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They're trying to protect the relationship.
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They're trying to answer a question they may not feel fully prepared to answer.
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And sometimes they are simply trying to not say the wrong thing.
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But pay conversations are delicate.
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The words matter, the tone matters, the explanation matters, and one careless phrase can create confusion that lasts long after the conversation ends.
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An employee may not remember every detail of the merit increase process.
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They may not remember every market data point.
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They may not remember every line of the compensation philosophy.
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But they will remember what their manager said, especially if it made them feel dismissed, undervalued, unappreciated, belittled, misled, or confused.
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That is where pay communication can go wrong.
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Not because the compensation strategy is necessarily broken, but because the message does not carry the strategy well.
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Let's put this into a real workplace moment.
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An employee sits down with their manager after annual salary increases are finalized.
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The employee expected more.
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Maybe they had a strong year.
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Maybe they took on extra work.
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Maybe they helped train someone.
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Maybe they saw salary information online.
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Maybe they saw some job postings and know that the organization has been hiring at higher rates than theirs.
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Maybe they are simply trying to understand where they stand with their compensation and in the organization.
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And so they ask, can you help me understand why my increase was only this amount?
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Now the manager is on the spot and uncomfortable.
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They may not fully understand the pay raise decision.
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They may not agree with the decision.
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They may be frustrated with the limited budget.
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They may be worried the employee will be upset.
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They may be worried the employee will leave.
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They may not have been given enough talking points.
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And so they say something like, I wanted to give you more, but HR wouldn't let me.
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Or finance limited the budget.
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Or this is just how the system works.
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Or you should be grateful.
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Some people got less.
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Or maybe even just keep doing what you're doing.
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We'll see what happens next year.
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Each of those comments may come from a very human place.
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The manager may be trying to be honest.
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They may be trying to soften the disappointment.
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They may be trying to show support.
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They may be trying to avoid conflict.
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But to the employee, those phrases can send a very different message.
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They can make the process feel political.
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They can make the manager seem powerless.
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They can make human resources or finance look like the enemy.
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They can make the employee feel like asking questions is a problem.
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And they can make the future feel vague.
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And ultimately, they weaken trust in the entire compensation system.
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That is the real issue.
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Pay communication mistakes are rarely just communication mistakes.
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They become trust mistakes.
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So why do managers say things that break trust?
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There are a few patterns we see consistently.
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The first issue is that managers often try to distance themselves from the decision, particularly when they disagree with that decision.
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This is very common.
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A manager wants to preserve the relationship with the employee.
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They don't want to be seen as the person who disappointed them.
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So they shift the decision somewhere else.
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They say, that came from human resources.
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Or finance would not approve it.
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Or leadership made the call.
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Or my hands were tied.
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In the moment, that may feel easier, but it creates a bigger problem.
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It tells the employee the pay process is not really owned by their manager.
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It makes the system feel distant and political.
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It also can make the employee wonder whether their manager advocated for them at all.
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And once an employee believes their manager cannot influence pay decisions, they may stop trusting the manager's guidance about growth, performance, and opportunity.
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That is a major problem.
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The manager does not need to pretend they control everything, but they do need to own the message.
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A better approach sounds more like this.
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Here is how the decision was made, here is what we considered, and here is what we can focus on moving forward.
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That is much stronger than it was out of my hands.
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The second issue is that managers sometimes overpromise.
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This usually comes from a good place.
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The employees disappointed, and the manager wants to give them hope.
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So they say, We'll take care of you next year.
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Or I'm sure we can get you promoted soon.
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Or I'll make sure this gets fixed.
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Or you are definitely next in line.
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Those words may feel supportive in the moment, but if they are not backed by a real process, budget, timeline, or decision, they become dangerous because employees remember promises.
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And if the promise does not happen, the manager may later say, Well, I didn't mean it that way.
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But the employee heard it that way.
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That is how trust breaks.
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Not because the manager intended to mislead them, but because the manager gave certainty where there was only possibility.
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There's a big difference between saying, I'll make sure this gets fixed, and saying, here is what I can commit to.
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I will review your role, document the changes in your responsibilities, and bring that information into our next compensation planning discussion.
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The second statement is more honest.
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It doesn't promise an outcome, it promises an action.
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That is what managers should do.
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The third issue is that managers sometimes use vague language.
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They say things like, just keep doing what you're doing, or you're doing great, or we value you.
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Or there may be opportunities down the road.
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Those phrases may sound positive, but they're not very useful.
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If an employee is asking about pay, they typically need more than encouragement.
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They need clarity.
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What does doing great actually mean?
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What performance expectations matter?
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What skills would support a future increase?
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What would make that employee ready for the next level?
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What is actually required for a promotion?
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What's in their control and what is not?
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When managers stay vague, employees may leave the conversation feeling no better than when they started.
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They may even feel worse because now they know the manager likes them, but they still don't know how pay decisions work.
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The fourth issue is that managers sometimes compare employees to others.
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This can happen accidentally.
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An employee asks why their increase was smaller than expected, and the manager says, Well, compared to the rest of the team, you did fine.
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Or other people are further behind you.
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Or perhaps some employees got nothing.
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The manager may be trying to provide perspective.
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But compensation comparisons are risky.
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They can make the employee feel dismissed, unappreciated, or in competition with their colleagues.
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They can invite questions about coworkers.
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They can create confidentiality concerns.
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And they can shift the conversation away from the employee's actual pay situation.
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Employees don't want to hear that someone else may be worse off.
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They want to understand their own pay.
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So the conversation should stay focused on the employee's role, their performance, their range placement, their growth path, and the organization's decision process.
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The fifth issue is that managers sometimes confuse transparency with saying everything.
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This is especially important right now.
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Pay transparency doesn't mean that every manager should share every detail they know with everyone.
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It doesn't mean guessing.
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It doesn't mean talking about other employees' pay.
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It doesn't mean explaining things the manager does not fully understand.
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It means communicating clearly, consistently, and appropriately.
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A manager can be transparent and still have boundaries.
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They can say, I cannot discuss another employee's pay, but I can walk you through how your pay is reviewed.
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That is a strong answer.
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It respects confidentiality.
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It keeps the conversation focused, and it builds trust because it is clear.
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Here's the key point.
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Managers do not break trust only by making bad pay decisions.
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They also break trust by explaining pay decisions poorly.
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And often they don't realize they're doing that.
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So what do you do?
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Because managers need to communicate pay.
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Employees deserve answers.
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And organizations need the message to be consistent.
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Starting Monday, identify the phrases managers should stop using.
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Phrases like my hands are tied, human resources wouldn't let me.
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Finance blocked it.
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Just be patient.
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We'll take care of you next year.
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That's just how the system works.
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You should be grateful.
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These phrases may feel harmless in the moment, but they can create long-term damage.
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Stop using them.
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Starting Monday, give managers replacement language.
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Do not only tell them what not to say, give them effective words they can actually use.
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For example, here's how the decision was made.
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Here is what was considered.
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Here is what I can share.
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Here is what I cannot discuss.
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Here is what would support future growth.
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Here is what I will commit to following up on.
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Managers need practical language, not just warnings.
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Starting Monday, train managers to separate empathy from promises.
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A manager can acknowledge disappointment without promising a future increase.
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They can say, I understand this is frustrating, and I know this is not the outcome you were hoping for.
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That is empathy.
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Then they can say, let's talk about what factors influence the decision and what we can focus on from here.
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That is direction.
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Empathy plus clarity is much better than vague reassurances.
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Starting Monday, prepare managers for the questions employees are most likely to ask.
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Why did I get this increase?
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Why am I not paid higher in the range?
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Why did someone new come in with a higher salary than me?
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What do I need to do to earn more?
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Is this raise negotiable?
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How does performance affect pay?
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When will my pay be reviewed again?
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Managers should not be hearing those questions for the first time in the conversation with the employee.
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Provide training and job aids well before pay raise season begins.
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Starting Monday, make pay communication part of manager training all year, not just during marriage season.
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Because pay questions do not only happen once a year.
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They happen during hiring.
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They happen during promotions.
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They happen after performance reviews.
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They happen when salary ranges are posted.
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They happen when employees compare notes.
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They happen when the market moves.
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So managers need ongoing support, not one annual email with talking points.
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So here's where we land.
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Pay communication matters.
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Not because communication fixes every pay issue.
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Let me be clear, it does not.
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If the pay decision is wrong, better communication will not magically make it right.
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But poor communication can make even a reasonable pay decision feel unfair.
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That is why manager language matters so much.
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Employees listen carefully during pay conversations.
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What do they listen for?
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They listen for fairness.
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They listen for respect.
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They listen for clarity.
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They listen for whether the organization has a real process.
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And they listen for whether their manager knows how to explain the process.
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That means the words managers use are not small details.
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They are part of the compensation system.
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If this is something your organization is working through, or if managers are struggling to explain pay without creating more confusion, you're not alone.
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We see this often.
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The pay decision may be defensible.
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The process may be reasonable.
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The strategy may be sound.
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But the conversation can still break trust if the manager doesn't know how to carry the message.
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And if it's helpful, reach out and mention the episode.
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We'd genuinely love to hear what you're seeing, what managers are saying, and where pay conversations are creating unnecessary tension inside your organization.
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Thanks for listening to What the Comp.
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If this made you think, please send it to someone who manages people and has to explain pay decisions.
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Because sometimes the problem is not only what the organization decided, sometimes it's what the manager said.
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This is what the comp.
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Welcome to What the Comp, the Pay Strategy podcast, where compensation stops being confusing and starts making sense for real organizations.
00:00:11.759 --> 00:00:16.480
I'm Jennifer Loftus, National Director at Astron Solutions.
00:00:16.719 --> 00:00:21.440
And today we're talking about pay communication mistakes.
00:00:22.480 --> 00:00:29.600
More specifically, we're talking about what managers say that breaks trust without realizing it.
00:00:30.320 --> 00:00:32.000
Because here's the truth.
00:00:32.320 --> 00:00:37.439
Most managers are not trying to damage trust when they talk about pay.
00:00:38.079 --> 00:00:42.320
They are trying to get through a difficult conversation.
00:00:43.359 --> 00:00:46.000
They're trying to explain a decision.
00:00:46.640 --> 00:00:49.840
They're trying to protect the relationship.
00:00:50.399 --> 00:00:56.240
They're trying to answer a question they may not feel fully prepared to answer.
00:00:57.119 --> 00:01:02.640
And sometimes they are simply trying to not say the wrong thing.
00:01:03.439 --> 00:01:06.079
But pay conversations are delicate.
00:01:06.640 --> 00:01:20.400
The words matter, the tone matters, the explanation matters, and one careless phrase can create confusion that lasts long after the conversation ends.
00:01:22.079 --> 00:01:27.359
An employee may not remember every detail of the merit increase process.
00:01:27.840 --> 00:01:30.799
They may not remember every market data point.
00:01:31.680 --> 00:01:36.079
They may not remember every line of the compensation philosophy.
00:01:36.799 --> 00:01:55.359
But they will remember what their manager said, especially if it made them feel dismissed, undervalued, unappreciated, belittled, misled, or confused.
00:01:56.480 --> 00:02:00.879
That is where pay communication can go wrong.
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Not because the compensation strategy is necessarily broken, but because the message does not carry the strategy well.
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Let's put this into a real workplace moment.
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An employee sits down with their manager after annual salary increases are finalized.
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The employee expected more.
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Maybe they had a strong year.
00:02:26.560 --> 00:02:28.800
Maybe they took on extra work.
00:02:29.439 --> 00:02:31.840
Maybe they helped train someone.
00:02:32.400 --> 00:02:35.439
Maybe they saw salary information online.
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Maybe they saw some job postings and know that the organization has been hiring at higher rates than theirs.
00:02:46.159 --> 00:02:53.919
Maybe they are simply trying to understand where they stand with their compensation and in the organization.
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And so they ask, can you help me understand why my increase was only this amount?
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Now the manager is on the spot and uncomfortable.
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They may not fully understand the pay raise decision.
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They may not agree with the decision.
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They may be frustrated with the limited budget.
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They may be worried the employee will be upset.
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They may be worried the employee will leave.
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They may not have been given enough talking points.
00:03:32.879 --> 00:03:39.120
And so they say something like, I wanted to give you more, but HR wouldn't let me.
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Or finance limited the budget.
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Or this is just how the system works.
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Or you should be grateful.
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Some people got less.
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Or maybe even just keep doing what you're doing.
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We'll see what happens next year.
00:04:02.000 --> 00:04:05.680
Each of those comments may come from a very human place.
00:04:06.639 --> 00:04:09.919
The manager may be trying to be honest.
00:04:10.879 --> 00:04:14.400
They may be trying to soften the disappointment.
00:04:14.960 --> 00:04:17.519
They may be trying to show support.
00:04:18.399 --> 00:04:21.360
They may be trying to avoid conflict.
00:04:21.839 --> 00:04:27.680
But to the employee, those phrases can send a very different message.
00:04:28.160 --> 00:04:31.759
They can make the process feel political.
00:04:32.160 --> 00:04:35.839
They can make the manager seem powerless.
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They can make human resources or finance look like the enemy.
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They can make the employee feel like asking questions is a problem.
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And they can make the future feel vague.
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And ultimately, they weaken trust in the entire compensation system.
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That is the real issue.
00:05:00.720 --> 00:05:06.399
Pay communication mistakes are rarely just communication mistakes.
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They become trust mistakes.
00:05:11.439 --> 00:05:15.600
So why do managers say things that break trust?
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There are a few patterns we see consistently.
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The first issue is that managers often try to distance themselves from the decision, particularly when they disagree with that decision.
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This is very common.
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A manager wants to preserve the relationship with the employee.
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They don't want to be seen as the person who disappointed them.
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So they shift the decision somewhere else.
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They say, that came from human resources.
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Or finance would not approve it.
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Or leadership made the call.
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Or my hands were tied.
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In the moment, that may feel easier, but it creates a bigger problem.
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It tells the employee the pay process is not really owned by their manager.
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It makes the system feel distant and political.
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It also can make the employee wonder whether their manager advocated for them at all.
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And once an employee believes their manager cannot influence pay decisions, they may stop trusting the manager's guidance about growth, performance, and opportunity.
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That is a major problem.
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The manager does not need to pretend they control everything, but they do need to own the message.
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A better approach sounds more like this.
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Here is how the decision was made, here is what we considered, and here is what we can focus on moving forward.
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That is much stronger than it was out of my hands.
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The second issue is that managers sometimes overpromise.
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This usually comes from a good place.
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The employees disappointed, and the manager wants to give them hope.
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So they say, We'll take care of you next year.
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Or I'm sure we can get you promoted soon.
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Or I'll make sure this gets fixed.
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Or you are definitely next in line.
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Those words may feel supportive in the moment, but if they are not backed by a real process, budget, timeline, or decision, they become dangerous because employees remember promises.
00:07:57.920 --> 00:08:06.319
And if the promise does not happen, the manager may later say, Well, I didn't mean it that way.
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But the employee heard it that way.
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That is how trust breaks.
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Not because the manager intended to mislead them, but because the manager gave certainty where there was only possibility.
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There's a big difference between saying, I'll make sure this gets fixed, and saying, here is what I can commit to.
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I will review your role, document the changes in your responsibilities, and bring that information into our next compensation planning discussion.
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The second statement is more honest.
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It doesn't promise an outcome, it promises an action.
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That is what managers should do.
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The third issue is that managers sometimes use vague language.
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They say things like, just keep doing what you're doing, or you're doing great, or we value you.
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Or there may be opportunities down the road.
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Those phrases may sound positive, but they're not very useful.
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If an employee is asking about pay, they typically need more than encouragement.
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They need clarity.
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What does doing great actually mean?
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What performance expectations matter?
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What skills would support a future increase?
00:09:52.480 --> 00:09:56.480
What would make that employee ready for the next level?
00:09:57.360 --> 00:10:00.960
What is actually required for a promotion?
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What's in their control and what is not?
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When managers stay vague, employees may leave the conversation feeling no better than when they started.
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They may even feel worse because now they know the manager likes them, but they still don't know how pay decisions work.
00:10:27.600 --> 00:10:33.440
The fourth issue is that managers sometimes compare employees to others.
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This can happen accidentally.
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An employee asks why their increase was smaller than expected, and the manager says, Well, compared to the rest of the team, you did fine.
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Or other people are further behind you.
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Or perhaps some employees got nothing.
00:10:56.320 --> 00:11:00.399
The manager may be trying to provide perspective.
00:11:01.360 --> 00:11:04.720
But compensation comparisons are risky.
00:11:05.279 --> 00:11:13.279
They can make the employee feel dismissed, unappreciated, or in competition with their colleagues.
00:11:13.440 --> 00:11:16.480
They can invite questions about coworkers.
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They can create confidentiality concerns.
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And they can shift the conversation away from the employee's actual pay situation.
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Employees don't want to hear that someone else may be worse off.
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They want to understand their own pay.
00:11:36.559 --> 00:11:48.960
So the conversation should stay focused on the employee's role, their performance, their range placement, their growth path, and the organization's decision process.
00:11:50.000 --> 00:11:56.879
The fifth issue is that managers sometimes confuse transparency with saying everything.
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This is especially important right now.
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Pay transparency doesn't mean that every manager should share every detail they know with everyone.
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It doesn't mean guessing.
00:12:12.399 --> 00:12:16.000
It doesn't mean talking about other employees' pay.
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It doesn't mean explaining things the manager does not fully understand.
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It means communicating clearly, consistently, and appropriately.
00:12:30.320 --> 00:12:35.120
A manager can be transparent and still have boundaries.
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They can say, I cannot discuss another employee's pay, but I can walk you through how your pay is reviewed.
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That is a strong answer.
00:12:49.120 --> 00:12:51.759
It respects confidentiality.
00:12:52.480 --> 00:13:00.399
It keeps the conversation focused, and it builds trust because it is clear.
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Here's the key point.
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Managers do not break trust only by making bad pay decisions.
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They also break trust by explaining pay decisions poorly.
00:13:15.200 --> 00:13:19.679
And often they don't realize they're doing that.
00:13:20.639 --> 00:13:22.240
So what do you do?
00:13:22.720 --> 00:13:25.919
Because managers need to communicate pay.
00:13:26.320 --> 00:13:29.039
Employees deserve answers.
00:13:29.440 --> 00:13:33.759
And organizations need the message to be consistent.
00:13:34.960 --> 00:13:40.799
Starting Monday, identify the phrases managers should stop using.
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Phrases like my hands are tied, human resources wouldn't let me.
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Finance blocked it.
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Just be patient.
00:13:51.600 --> 00:13:54.480
We'll take care of you next year.
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That's just how the system works.
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You should be grateful.
00:14:00.799 --> 00:14:06.559
These phrases may feel harmless in the moment, but they can create long-term damage.
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Stop using them.
00:14:10.399 --> 00:14:15.759
Starting Monday, give managers replacement language.
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Do not only tell them what not to say, give them effective words they can actually use.
00:14:24.720 --> 00:14:29.440
For example, here's how the decision was made.
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Here is what was considered.
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Here is what I can share.
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Here is what I cannot discuss.
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Here is what would support future growth.
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Here is what I will commit to following up on.
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Managers need practical language, not just warnings.
00:14:53.039 --> 00:14:59.279
Starting Monday, train managers to separate empathy from promises.
00:15:00.799 --> 00:15:06.399
A manager can acknowledge disappointment without promising a future increase.
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They can say, I understand this is frustrating, and I know this is not the outcome you were hoping for.
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That is empathy.
00:15:19.039 --> 00:15:27.519
Then they can say, let's talk about what factors influence the decision and what we can focus on from here.
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That is direction.
00:15:31.759 --> 00:15:37.759
Empathy plus clarity is much better than vague reassurances.
00:15:38.399 --> 00:15:44.960
Starting Monday, prepare managers for the questions employees are most likely to ask.
00:15:45.200 --> 00:15:47.360
Why did I get this increase?
00:15:47.759 --> 00:15:50.559
Why am I not paid higher in the range?
00:15:51.200 --> 00:15:55.039
Why did someone new come in with a higher salary than me?
00:15:56.159 --> 00:15:59.120
What do I need to do to earn more?
00:16:00.320 --> 00:16:02.399
Is this raise negotiable?
00:16:03.279 --> 00:16:06.320
How does performance affect pay?
00:16:07.440 --> 00:16:10.399
When will my pay be reviewed again?
00:16:12.000 --> 00:16:17.679
Managers should not be hearing those questions for the first time in the conversation with the employee.
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Provide training and job aids well before pay raise season begins.
00:16:24.720 --> 00:16:33.759
Starting Monday, make pay communication part of manager training all year, not just during marriage season.
00:16:34.240 --> 00:16:38.559
Because pay questions do not only happen once a year.
00:16:38.879 --> 00:16:40.879
They happen during hiring.
00:16:41.200 --> 00:16:43.360
They happen during promotions.
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They happen after performance reviews.
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They happen when salary ranges are posted.
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They happen when employees compare notes.
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They happen when the market moves.
00:16:56.799 --> 00:17:05.839
So managers need ongoing support, not one annual email with talking points.
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So here's where we land.
00:17:08.319 --> 00:17:10.640
Pay communication matters.
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Not because communication fixes every pay issue.
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Let me be clear, it does not.
00:17:17.920 --> 00:17:24.079
If the pay decision is wrong, better communication will not magically make it right.
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But poor communication can make even a reasonable pay decision feel unfair.
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That is why manager language matters so much.
00:17:37.359 --> 00:17:41.200
Employees listen carefully during pay conversations.
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What do they listen for?
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They listen for fairness.
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They listen for respect.
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They listen for clarity.
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They listen for whether the organization has a real process.
00:17:57.279 --> 00:18:02.799
And they listen for whether their manager knows how to explain the process.
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That means the words managers use are not small details.
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They are part of the compensation system.
00:18:14.559 --> 00:18:25.920
If this is something your organization is working through, or if managers are struggling to explain pay without creating more confusion, you're not alone.
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We see this often.
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The pay decision may be defensible.
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The process may be reasonable.
00:18:35.359 --> 00:18:37.839
The strategy may be sound.
00:18:38.640 --> 00:18:46.640
But the conversation can still break trust if the manager doesn't know how to carry the message.
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And if it's helpful, reach out and mention the episode.
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We'd genuinely love to hear what you're seeing, what managers are saying, and where pay conversations are creating unnecessary tension inside your organization.
00:19:06.400 --> 00:19:09.359
Thanks for listening to What the Comp.
00:19:10.480 --> 00:19:18.240
If this made you think, please send it to someone who manages people and has to explain pay decisions.
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Because sometimes the problem is not only what the organization decided, sometimes it's what the manager said.
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This is what the comp.
