Pay equity initiatives can lead to wage compression, where the difference between entry-level and more experienced positions narrows. While beneficial for new entrants, this can demotivate senior employees, who may feel their experience and tenure are undervalued. Over time, this could lead to decreased morale and increased turnover among more experienced staff.

Pay equity initiatives can lead to wage compression, where the difference between entry-level and more experienced positions narrows. While beneficial for new entrants, this can demotivate senior employees, who may feel their experience and tenure are undervalued. Over time, this could lead to decreased morale and increased turnover among more experienced staff.

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