Pay Transparency and Wage Equity in Government-Owned Organizations: An Empirical Study in Bayelsa State, Nigeria
Abstract
This study examines the effect of pay transparency on wage equity in government-owned organizations in Bayelsa State, Nigeria. Specifically, it investigates how salary disclosure laws and transparent compensation practices influence pay gaps and employee trust. Using a survey research design, data were collected from 200 employees across five government-owned organizations in Bayelsa State through structured questionnaires. Simple regression analysis was employed to test three hypotheses concerning the relationships between salary disclosure laws, transparent compensation practices, pay gaps, and employee trust. The results reveal that salary disclosure laws significantly reduce pay gaps (? = 0.631, p < 0.001, R2 = 0.398), transparent compensation practices significantly enhance employee trust (? = 0.704, p < 0.001, R2 = 0.496), and salary disclosure laws significantly improve employee trust (? = 0.658, p < 0.001, R2 = 0.433). The study concludes that pay transparency mechanisms are crucial for promoting wage equity and building trust in government organizations. Recommendations include strengthening salary disclosure requirements, implementing comprehensive transparency frameworks, and establishing independent monitoring systems to ensure compliance and accountability.
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