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Key Takeaways

  • Why managers need more than just information for pay conversations to go well

  • What employees actually listen for in pay conversations

  • 10 things to include in your manager pay conversation toolkit

Pay transparency is picking up speed. As laws evolve, employees are anticipating meaningful insight into something that was once a closely guarded secret.

But clarity on paper is only the start.

Designing a pay transparency framework is a technical exercise. Turning that framework into something employees believe in rests on human behavior, which is often the hardest lift.

Transparency doesn’t mean revealing every salary or every detail about the pay program. It means helping people understand how pay decisions are made and what principles guide them. When employees know the logic behind the system, the conversation becomes clearer and much less charged.

For HR leaders, that reality signals a clear mandate to prepare managers to talk about pay.

“Even the most airtight policy can trigger mistrust if the people who deliver the message aren’t ready for the conversations that follow,” says Korn Ferry’s Mark van Zon.

The stakes are high. Pay transparency can take months of design, modeling, and cross-functional coordination, but its success can hinge on conversations between managers and employees. One interaction can reinforce fairness—or undermine it in ways that are difficult to repair. That risk looks different depending on where an organization is in its pay transparency journey.

And because transparency is a moving target, one-time training isn’t enough. HR leaders can help make pay communication a core leadership capability that develops over time, supported by tools, practice, and reinforcement.

5 Ways to Equip Managers for Success

Here are five practical ways to prepare managers to talk about pay clearly and confidently, so that employees feel the process is fair.

1. Start with Context: Help Managers Understand the Bigger Picture

One conversation, two realities

Pay discussions work best when managers understand that the conversation is a container for two different perspectives on the same reality.

Managers tend to see compensation in terms of structure—salary bands, market data, and performance frameworks. Meanwhile, employees see it as a signal of recognition, fairness, and their place in the organization. When those perspectives clash, dialogue can falter before it really begins.

Give managers a narrative, not just numbers

Bridging those realities starts with managers understanding the “why.” Without that grounding, pay discussions collapse into mechanics—ranges, benchmarks, job architecture—that feel abstract and miss what employees really care about.

Employees are listening for something simpler and more human:

  • Is my pay fair?
  • Am I valued?
  • Does my manager believe in this system?

HR leaders crafting the purpose narrative should consider anchoring it on:

  • Contribution: how pay reflects impact
  • Consistency: how decisions are made fairly across roles
  • Fairness: why transparency exists and what it protects

Good organizations tell managers what transparency is while great ones tell them why it matters.

When managers understand the purpose behind the policy, their tone shifts from rote explanation to ownership.

“Managers can’t communicate what they don’t understand.”
Tom McMullen, Senior Client Partner, Korn Ferry

It also steadies managers themselves. Many managers share the same questions and anxieties as their teams. Giving them a simple, human story to anchor onto reduces that pressure and helps them show up with more confidence and care.

2. Build a Communication Toolkit

Reduce cognitive load before the conversation begins

A clear toolkit turns a complex web of data points into something managers can explain simply and consistently.

Besides helping managers stay consistent with HR’s intended message, accessible tools reduce manager anxiety, which helps steady the emotional tone of the conversation before it even starts.

At minimum, a strong toolkit should:

  • Explain how roles relate
  • Clarify how ranges work and where the employee fits
  • Provide talking points aligned with fairness, contribution, and clarity

Pay conversations can go sideways when a manager feels challenged, freezes, and redirects the employee to HR. This leaves employees questioning whether the message is consistent, and trust slips from there.

There's a risk in HR giving managers information that’s too conceptual or hard to access in real-time. With insufficient guidance, managers rely on personal instinct.

“Managers need to be able to explain how jobs are positioned relative to each other, how the pay system works, and most importantly, where the employee sits in the range and why.”
Mark van Zon, Senior Client Partner, Korn Ferry

Tools for Real Pay Conversations

With the right toolkit, managers will have the confidence to handle questions, stay grounded, and keep the conversation human.

Core conversation tools

  • Simple explanation of how roles relate
  • Clear overview of ranges and where the employee sits and why
  • Plain-language talking points tied to HR’s story
  • Disclosure boundaries: what managers can and cannot say
  • Quick aids such as reference sheets, FAQs, and visuals

Enhanced toolkit

  • Short eLearning modules and workshops
  • Scenario practice and conversation simulations
  • Digital practice tools for emotionally charged situations
  • Microlearning refreshers and downloadable scripts
  • Clear escalation guidance for looping in HR

Clarity, not clutter

Toolkits should match organizational scale, but even for multinationals, clarity doesn’t require volume. For example, one Korn Ferry client scrapped their complex HR manual in favor of short digital modules and cheat sheets, and employee understanding of how pay is structured subsequently jumped by 20 percent.

Creating this toolkit often requires HR to coordinate across functions.

“There’s a real challenge in translating technical information for multiple audiences,” says Korn Ferry’s Claire Field. “HR and finance don’t always work hand in hand, but our data and requirements mean we need to be working together.”

The goal is cohesion, with HR shaping the policy and bringing the right stakeholders together, while managers carry it forward armed with a toolkit that helps avoid distortion.

3. Keep Conversations Clear, Consistent, and Human

Delivery is part of the message

Pay is deeply personal. Since it’s tied to identity, security, and recognition, even a routine update can feel like a referendum on worth. Employees may not expect managers to have every answer, but they do expect them to show up with honesty and care.

To keep these conversations constructive, HR can direct managers to stay grounded with three anchors:

  1. Clarity
    Say what you mean plainly. Explain decisions without hedging or jargon.
  2. Consistency
    Stay aligned with the organization’s message. When managers give different explanations, employees interpret it as unfairness or disarray. Remember that employees compare notes, and a clear message from one manager can be undone if another explains things differently.
  3. Compassion
    Treat the discussion as a human moment, not just a compliance step. Listen before replying. Acknowledge emotion without dismissing it.

“When discussing pay transparency, managers need to think with both the head and the heart,” says van Zon.

Some organizations operationalize this balance. For example, one of our financial services clients reframed their whole approach under a single idea they called “Trust through Transparency.” They embedded emotional-intelligence training directly into compensation workshops and report seeing measurable gains in employee trust.

The real risk rarely comes from numbers alone—it comes from the moment of interpretation.

“Pay information either affirms understanding or sparks doubt, and that emotional response is what sticks."
Tom McMullen, Senior Client Partner, Korn Ferry

4. Grow Confidence through Repeated Practice

Knowledge without practice isn’t real readiness

Pay conversations trigger emotional responses because they tap into perceptions of worth, fairness, and belonging. Theory alone doesn’t equip managers for that complexity—they need repeated practice to stay composed and constructive.

Many organizations now use:

  • Facilitated role-plays
  • Instructor-led workshops
  • Scenario-based simulations
  • Microlearning drills for tough questions
  • AI avatar training that replicates real employee reactions

Pay conversations are emotional terrain, and people don’t default to their best selves when they feel cornered. Rather, they tend to grab whatever comes quickest.

That leaves too much to chance. Practice rewires that reflex so the response is steady, measured, and aligned with the broader story HR is trying to tell.

Ultimately, practice protects both the message and the relationship. It lowers the risk of avoidance responses, increases confidence, and makes conversations predictable instead of ad hoc.

“For most managers, talking about pay and equity is an entirely new skill. It’s a muscle managers need to grow and strengthen.”
Mark van Zon, Senior Client Partner, Korn Ferry

5. Align Communication Across the Entire Organization

Shared language drives shared culture

Pay transparency doesn’t live inside one department. “An email from the CEO won’t cut the mustard,” says van Zon. “Time spent upfront on the communication plan is critical.”

Employees must hear about transparency from leaders, HR, finance teams, internal comms, managers, and representative groups.

A strong communication cascade requires coordination across:

  • Executives: philosophy, vision, purpose
  • HR: frameworks, logic, tools
  • Managers: personalized conversations
  • Employees: clear, accessible information
  • Representative groups: unions, works councils, and others

Some organizations now link communication quality to leadership expectations. Others use pulse surveys (“I understand how my pay is determined”) to identify misalignment early.

When voices align, transparency becomes a lever for trust, engagement, and cultural strength. When they don’t, the organization forfeits a rare opportunity to reinforce fairness and credibility.

Making Transparency Work for You

Organizations can approach pay transparency in one of two ways.

  • The first is minimal compliance—meeting the letter of the law and moving on. Compliance matters, but it only creates value if employees actually experience the system as fair, coherent, and meaningful.
  • The second, more strategic, path is to see transparency as a cultural opportunity unlocked through communication. When HR frames the narrative, equips managers to carry it, and ensures the message is aligned across the organization, transparency becomes a signal of trust.

Turn Pay Transparency Into a Strategic Advantage

If you’re ready to move from compliance to credibility, Korn Ferry’s 5-Stage Framework for Pay Transparency is a roadmap for getting there. Download the guide to see where your organization can begin—and how to turn transparency into a cultural advantage.