Originally featured on Doing CX Right blog
Imagine yourself sitting across the table, heart pounding, hands clammy. The offer letter is right in front of you, but something feels off. You know you should probably ask for more, but the words seem stuck. Does this sound familiar?
This is similar to what my friend Catherine Sugarbroad experienced. After being in her role for several years, a new position opened up. Realizing that the compensation structure for this new role might be different, she sought advice from a trusted colleague.
Her colleague warned that the company could try to lower her base salary because sales roles often rely heavily on commissions. With this knowledge in hand, she entered the negotiation process fully equipped.
However, the outcome wasn’t what she expected. Instead of cutting her salary, the company increased it. Surprised, she immediately called her colleague to share the unexpected news.
His response was blunt: “Oh, you must have been really underpaid.”
This eye-opening moment made Catherine realize how much she had been leaving on the table by not asking for what she was worth. That raise wasn’t just an adjustment—it was a sign she had been undervalued for far too long.
Fast forward a few years, and Catherine found herself in a similar situation—but this time, she was more confident. When a new job offer came, she didn’t hesitate to speak up.
“I know I’m underpaid, and I want you to fix it,” she told her employer. The result? Another significant raise, this time by 30%. Across two job transitions, her base salary had increased by a whopping 70%. The lesson? Asking for more is about knowing your value and claiming it.
Key Takeaways for Women and All Employees:
Catherine’s story emphasizes the importance of knowing your worth and advocating for it. It’s not just about a bigger paycheck—it’s about shaking off the limiting beliefs that prevent people, especially women, from asking for what they deserve. Here are the lessons from her experience:
- Understand Your Worth
Knowing what you bring to the table is crucial. Catherine’s story highlights how not knowing her market value led to years of being underpaid. Research industry standards and reflect on your contributions to inform your negotiations.
- Ask for What You Deserve
Many believe their efforts will be recognized without asking. However, Catherine’s story shows that’s not always the case. By simply asking for a higher salary, she saw a 70% increase across two jobs. If she hadn’t spoken up, she would have continued earning far less than she was worth.
- Be Prepared for Every Possibility
Even though Catherine anticipated her salary might be cut in exchange for commissions, she was ready for whatever came her way. Her preparation gave her the confidence to negotiate. Being well-prepared is key, no matter the outcome.
- Don’t Assume You’re Paid Fairly
Catherine’s experience illustrates that even when you think your pay is fair, there could be significant gaps. Regularly check market rates for your role to ensure you're being compensated appropriately.
- It’s Never Too Late to Make a Change
One of the biggest takeaways from Catherine’s story is that it’s never too late to advocate for yourself. Even after years of underpayment, she negotiated substantial raises. Don’t let past experiences hold you back—there’s always room to make a change.
- Speak Up for Others, Too
Catherine didn’t stop with her own situation. After noticing that men were more likely to negotiate for higher starting salaries, she worked with her leadership team to adjust wages for women engineers to match their male counterparts. Her actions ensured pay equity within her team, proving that advocating for yourself can have a ripple effect for others.
Insights for Company Leaders on Pay Equity
Catherine’s story also offers important lessons for leaders who want to build fair, supportive workplaces. Pay equity isn’t just about employee satisfaction—it’s about creating a culture of trust and fairness that drives business success. Here’s how leaders can promote a more equitable work environment:
- Conduct Regular Pay Audits
Schedule frequent audits to ensure all employees are compensated fairly. Don’t wait for employees to raise pay concerns—proactively addressing pay gaps sends a strong message that your organization values fairness.
- Encourage Open Conversations About Pay
Make salary discussions a routine part of career development conversations. Employees should feel comfortable asking about compensation without fear of repercussions. Leaders need to create a safe space for these conversations.
- Offer Negotiation Training
Providing negotiation training, especially to underrepresented employees, can help close pay gaps. Many people, particularly women, may not feel confident negotiating, but with the right tools, they can learn to ask for what they deserve.
- Tie Pay to Performance and Satisfaction
Connect compensation to performance metrics. This ensures that employees feel rewarded for their efforts, but be sure the system isn’t being manipulated. When employees feel valued, their performance and customer interactions improve, benefiting both the company and its clients.
- Mentor Underrepresented Employees
Catherine’s efforts to adjust pay for women engineers is a great example of how leaders can advocate for those who may not naturally speak up. Mentorship and support for underrepresented employees can embed pay equity into your company culture.
How Pay Equity Impacts Customer Experience
Catherine’s story goes beyond salaries—it also demonstrates how fair compensation affects both employee and customer experiences. When employees feel valued and paid fairly, they are more engaged, motivated, and aligned with the company’s mission, directly influencing the way they interact with customers.
An underappreciated workforce often leads to disengaged employees, which in turn results in subpar customer service. On the flip side, employees who feel fairly compensated are more likely to go the extra mile, resulting in higher customer satisfaction and loyalty.
By prioritizing pay equity, leaders can create a ripple effect that not only boosts employee morale but also improves the overall customer experience. It’s a win-win.
International Equal Pay Day: A Call to Action
Celebrated on September 18, International Equal Pay Day is a United Nations initiative aimed at raising awareness of the gender pay gap and the ongoing efforts to close it. It’s a reminder that pay equity is not just about fairness—it’s about building more inclusive, innovative, and successful workplaces.
While progress has been made, the gender pay gap persists across industries worldwide. International Equal Pay Day urges businesses, governments, and individuals to take meaningful action to ensure all employees, regardless of gender, receive fair pay. It’s a day to reflect on the importance of equal pay and the long-term benefits it brings to both employees and organizations.
For companies, addressing pay equity isn’t just the right thing to do—it’s a strategic decision. Fair pay leads to more engaged, satisfied employees, which in turn drives business growth and customer satisfaction.
What’s Next: Hear the Full Story
Whether you’re an employee wanting to ask for more or a leader striving for a fairer workplace, Catherine’s story offers clear lessons: knowing your value and advocating for yourself and others is essential. Pay equity isn’t just about numbers—it’s about creating a culture where everyone feels valued.
To learn more about Catherine’s journey and how pay equity shapes both employee and customer experiences, listen to the Doing CX Right podcast to hear these insights and much more.
Listen to the podcast here.
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