Who Benefits from AI in Pay? Challenges in Transparency
The advent of AI in HR and compensation promises greater fairness, speed, and insight in how organizations design pay structures. Yet the reality is more complex: as companies adopt algorithmic decision-making in compensation, emerging data suggests that women are not yet reaping the benefits . Understanding the gap between promise and outcome is crucial for leaders who want equitable and sustainable AI-driven pay systems. Table of Contents The Promise of AI in Compensation Where AI Falls Short: Gender Bias Risk Why Women Aren’t Benefitting Yet Conditions That Could Shift the Balance Best Practices for Equitable AI Pay Roadmap for Inclusive Compensation Innovation For More Info: Conclusion 1. The Promise of AI in Compensation AI can analyze vast datasets, detect pay disparities, and suggest pay bands or merit increases faster than manual audits. In theory, it offers a more objective, data-driven path to compensation decisions—reducing subjectivity and human bi...