Nearly half of UK employees say they don’t know how their salary is decided. In small teams, that uncertainty can quietly shape trust, confidence and retention.
Some workplaces are now tackling the issue head-on through peer-to-peer pay transparency pilots that bring clarity without conflict.
Building trust through openness
In small teams, everyone tends to know who carries the load, who brings in new ideas and who goes the extra mile. That closeness makes hidden pay gaps harder to justify. Some start-ups and community-led organisations have taken this to heart by trying peer-to-peer pay transparency pilots. Instead of a top-down salary structure, the team talks openly about pay ranges and how decisions are made.
Avoiding the drama
Introducing open pay discussions can feel risky. Leaders often worry that it will cause resentment or endless debate. The key is preparation. Teams that succeed start small, agree on clear rules and focus on fairness rather than numbers. They look at job responsibilities, skill levels and contribution to outcomes.
When the process is transparent from the start, it becomes less about comparison and more about collaboration. People are more likely to stay and grow when they feel recognised for their value.
A cultural shift worth trying
Open pay conversations thrive in teams built on trust and open communication. The goal is to create understanding, include people in key decisions and strengthen how everyone works together.
Small teams are well placed to lead the way. They can adapt quickly, gather feedback and refine their approach before taking it further. The outcome is a fairer, more transparent culture where talking about money feels natural and positive.
