What does employee transparency meanin the workplace?
Transparency in the workplace refers to openness and honesty, primarily in communicating with others. As an employer, this means maintaining open and frequent communication with your employees about decisions and the reasoning behind initiatives and policies that impact them. According to a survey by Slack, 80% of workers want to know more about their organization’s decision-making process, demonstrating the importance of transparency in the workplace.
How transparency benefits you and your employees
Being transparent in your hiring process and management style offers many benefits to applicants and employees. A workplace with transparency typically has a more attractive company culture where employees feel comfortable speaking their minds and communicating concerns or questions to their superiors. A better company culture results in higher rates of application from top talent in your area and better employee retention rates. A 2021Society for Human Resource Management (SHRM) report found that 40% of employee turnover occurs within the first year of employment. This means that practicing transparency and championing truth and communication during the hiring and onboarding process is critical to your company’s employee retention rates.
Other benefits for employers of ensuring they run a transparent workplace include:
- Increased employee engagement
- Stronger communication
- Better client relationships
- Candidates who are a better fit for the company
- Fewer barriers to innovation
- Positive company reputation
- Trust and goodwill among employees
When you prioritize honesty and communication in your recruitment process and how you manage your employees, there are advantages for you, your team and your company.
Tips for transparency in hiring
It’s important to be transparent during the recruitment process to create a positive relationship with candidates but also to ensure every applicant is treated with respect. When candidates feel their time is valued and their efforts are respected during the hiring process, they will remember your company fondly even if they are not selected for the job.
So what does this mean during the hiring process? A good place to start with candidate and employee transparency is being honest and upfront about where they stand in the hiring process regarding how many people you’re considering and how many more rounds of interviews they should expect. Map out what the rest of the process looks like for them during the initial interview. Also, provide an estimate for when you expect to fill the position. Doing so ensures candidates aren’t wasting their time or waiting for a call back past that date.
Beyond valuing candidates’ time and efforts, there are some other ways to approach the hiring process that champion business transparency.
Be honest about the potential challenges of the position
When speaking to candidates about the position they’re applying for, it’s critical not to sugarcoat or oversell the job. While you want to communicate the exciting opportunities you can offer top talent, failing to disclose the potential challenges of the job can result in turnover. Be candid about struggles the person currently or previously in this role experienced, what qualities you expect someone to possess to succeed and whether there is room for growth.
Talk openly about salary and benefits
Don’t make promises during an interview you can’t keep in an attempt to entice talented individuals into working for you. Being transparent during hiring means disclosing the typical salary or hourly wage you’re willing to pay for the position. This opens a dialogue between you and the applicant, letting you understand their pay expectations and ensure they’re a good fit before you extend an offer. Talking honestly about pay rate during the interview prevents miscommunication and awkward conversations later on when you call to offer a candidate the role. You’ll also want to share information about any benefits you offer employees, whether those are medical benefits or a flexible time off policy.
Tips for transparency as a manager
The importance of employee transparency extends beyond the hiring process to everyday operations within your company. When managing your team, be mindful of how your communication style affects employees’ comfort levels and confidence. Promoting honesty and leading by example ensures team members feel safe talking to you about problems and suggesting solutions. As a manager, you can practice transparency in several ways.
Be clear about your expectations
Tell your employees what you’re looking for in terms of project outcomes, sales targets or other goals. Help them set these objectives and celebrate their achievements.
Treat everyone with respect
Avoid playing favorites among team members. Treat all your employees with dignity and respect and show them they are valued. Provide useful feedback, both critical and positive, to all of your employees to support their growth and maintain a line of communication.
As a manager, you need to lead by example but remain approachable. Rather than only sharing successes with your team, be honest about times when you could’ve done things differently and what you learned from that process.