Today’s world is one in which transparency and fairness are increasingly expected and championed. At the same time, the conversation around compensation is not only more open, but is being actively rewritten. It’s certainly a hot topic, as 55% of U.S. workers believe their salary is lower than it should be, and only 4% of workers feel truly valued in their role, according to Resume Now.
For HR leaders, the challenge is not simply to keep pace, but to lead both conversation and direction. They must strive to create cultures where every colleague feels valued, acknowledged, respected and empowered to thrive. As Group Director Human Resources at Stahl, I have spent my career at the intersection of economics, business and law, with a singular focus: people. Today, as economic inequality and labour rights dominate global discourse, the question is not just “what is a fair wage?” but “how do we ensure pay truly
reflects impact and contribution?”
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Why the true value of a wage is counted in more than just numbers
To have a meaningful dialogue about compensation, we must begin with clear definitions. Too often, terms such as “living wage” and “fair wage” are used interchangeably, yet they represent distinct concepts. Each is critical when building a responsible and sustainable people strategy—but what are they?
- Legal minimum wage: The minimum wage is locally set by governments to protect workers from exploitation and establish a basic standard. However, in many countries, this baseline often falls short of covering the actual cost of living.
- Living wage: A living wage is what it truly takes to cover life’s necessities: food, housing, healthcare, education and a modest safety net. Unlike the minimum wage, the living wage is calculated based on real local costs and is designed to ensure that workers and their families can live with dignity, rather than merely get by.
- Fair wage: This is where things become truly interesting. It is not just about meeting basic needs, but about recognising an individual’s skills, performance and impact within the organization and industry. Fair wage means pay is equitable, transparent and motivating, reflecting both the realities of the market and the unique value each employee brings.
Putting policy into practice
I firmly believe that the concept of a living wage is more than a compliance exercise or a corporate milestone. It is a fundamental expression of respect for the individual. Achieving Living Wage certification at Stahl was a significant step, as it signals a more profound commitment to ensuring that every employee can meet their basic needs and live with dignity.
When our certification was renewed this year, it served as a reminder that fair pay is an ongoing responsibility, not a box to tick. To me, it is clear that the Living Wage certification is an excellent starting point in the journey towards a broader culture of fairness and transparency. What is also clear is that this isn’t a static issue, and continuous improvement and analysis will continue to define and lead how we approach compensation.
Nevertheless, achieving this certification is not the end goal. It is just one element in a top-down approach to compensation, where we embed fair pay into every aspect of our people strategy. This must be comprehensive, from annual salary reviews and gender pay gap analysis, to transparent communication and robust HR analytics.
Offering a fair wage is not a frozen target; it is a dynamic process. It requires ongoing benchmarking, regular audits, and open dialogue with employees. We leverage external audits and data-driven insights to ensure our compensation aligns with local living costs and industry standards. We have also taken proactive steps to ensure full compliance with the upcoming EU Pay Transparency Directive, which has already been achieved.
We recognise that salary alone does not drive engagement. As Herzberg’s TwoFactor Theory reminds us, pay prevents dissatisfaction, but proper motivation comes from meaningful work, opportunities for growth, and a culture of trust and inclusion.
Harmonizing global standards with local needs
With operations in more than 22 countries, we know that one size does not fit all. Fair compensation must be adapted to local realities, whether that means prioritizing health insurance in the U.S. or supporting complementary pensions in Europe. Our aim is to harmonise global standards with local needs. One inspiring initiative is our reverse mentoring programme. This seeks to connect senior leaders with younger talent to exchange perspectives, foster inter-departmental discussion and bridge office locations and cultures while sparking innovation and challenging assumptions.
Beyond learning from one another, this pilot aims to link generations and open conversations about how the next wave of talent experiences the world, business, and the workplace.
The road ahead: Action steps for HR leaders
Adopting a tailored approach is only part of the journey. Both challenge and opportunity lie in how organisations translate principles such as fairness, transparency and respect into daily practice. This is not about compliance or image, but about creating a culture where people genuinely feel seen and valued. When companies are willing to question assumptions, learn from diverse perspectives and share their experiences openly, they help raise standards not just internally, but across their industries and the communities they touch.
But is success ever final? And can we ever sit on our laurels? Well, in the people space, the answer is a resounding no. As the world of work continues to evolve, so too must our approach to compensation. The future will demand even greater flexibility, adaptability, authenticity and willingness. A fair wage is not a fixed destination but an ongoing journey that calls for open dialogue, continuous learning, and a desire to lead with purpose.
Purpose, people and progress: what must come next
Perhaps it’s cliché, but I believe that people are the backbone of every company. There is no magic formula to success, but if you act with purpose and good faith, in my book, you are already on the right path.
Success can be defined in many ways and analysed in even more. But at its core, it is simple. It starts with a genuine commitment to your people. You should engage early, use data wisely and listen and communicate openly. At Stahl, we believe that by keeping people at the centre of our decisions, we can help shape a more equitable, sustainable and human-centric world of work. It seems simple enough—and it is. It’s a notion that can and should be true of the broader economy, that of today and of tomorrow.
My message is simple enough, but requires commitment. Let’s keep building companies that people are proud to be part of today, and strive towards a more equitable, fair and transparent future for all in the excitingly dynamic world of tomorrow.
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