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2.2. Internal Pay Analysis

Image Description

The Internal Pay Analysis section is your central hub for understanding how your team’s compensation stacks up against the external market. It gives HR teams, compensation managers, and business leaders a clear, data-driven view of salary fairness, pay equity, and retention risk — all in one place.

Whether you’re conducting an annual compensation review, preparing for EU Pay Transparency compliance, or simply want to ensure your team is paid fairly and competitively, this feature provides the structure and insights you need to act with confidence.

Internal Pay Analysis - Employees tab showing salary data and benchmark labels for each position
The Employees tab lists all positions with their salary, location, and benchmark status at a glance.

What You Can Do with Internal Pay Analysis

This feature allows you to:

  • Upload and manage employee salary data — Add your team’s positions manually or via bulk import/export.
  • Benchmark each position against the live market — See instantly whether each employee’s salary is below, at, or above the market median.
  • Filter and segment your workforce — Slice data by role, seniority level, department, location, salary range, and more.
  • Identify compensation risks proactively — Spot underpaid employees at risk of leaving (“Risk loss”), unequal pay situations (“Unequal”), and healthy compensation (“Active”).
  • Create custom lists — Organize positions into named lists for easier tracking across departments or review cycles.
  • The Employees Tab

    The Employees tab is the core workspace of Internal Pay Analysis. Each row represents one position in your organization and displays:

    Column
    What it shows
    Position
    Job Title, Employee Name, And Seniority Level (Junior, Mid, Senior, Lead)
    Location
    City And Country Where The Employee Is Based
    Salary
    Current Gross Salary And Market Benchmark Comparison (E.G., “Below Market”, “On Market”, “Above Market”)
    Labels
    Automatic Risk Labels:Risk Loss,Active, Orunequal
    Actions
    Info (Quick Salary Summary) And Full Benchmark (Detailed Market Report)

  • đź”´ Risk loss — The employee’s salary is significantly below market. There is a risk they may leave for a better-paying opportunity.
  • 🟢 Active — The employee’s compensation is competitive and well-aligned with the market.
  • 🟡 Unequal — There may be a pay equity concern (e.g., significant disparity for similar roles).
  • At the top of the Employees tab, you can use the Add filter option to narrow down your list. Available filters include: Name, Position, Department, Seniority, Salary Range, Location, and Label. Filters can be combined to create precise segments of your workforce.

    Use + New List to create named groups of positions (e.g., “Engineering Team”, “2025 Review Cycle”). This helps you organize large teams and keep different review processes separate. The default “All positions” view always shows your complete workforce.

    Use the Import/Export button (top right) to bulk-upload employee data via a CSV/Excel template, or to export your current list for reporting purposes. This is especially useful when onboarding the platform for the first time or updating data after a compensation review cycle.

    Full Benchmark: Deep-Dive into Any Position

    Clicking Full benchmark on any employee row opens a detailed market salary report for that specific role and location. This is powered by TalentUp’s live salary database.

    Full benchmark result showing total market compensation, pay table by seniority, and market insights for a Human Resources Specialist in Brighton
    The Full Benchmark report shows the total market compensation, salary breakdown by level, and market supply/demand insights for any role and location.

    The report includes:

  • Total Market Compensation — The median salary for the role at the selected percentile (P10 to P90), with base salary and average stock options shown separately.
  • Market Balance Indicator — Whether the market for this role is balanced, under supply, or over supply in the selected location.
  • Pay Table by Level — A breakdown of salary ranges (P10–P90) for Junior, Mid, Senior, and Lead levels, with Gross/Net toggle and currency selection.
  • Market Insights — Trends in talent availability, demand, and sector benchmarks.
  • Pay Trajectory — How compensation typically evolves over time for this role.
  • The Insights Tab: Workforce Analytics at a Glance

    Switch to the Insights tab to get a high-level analytical view of your entire workforce compensation. This tab is designed to surface the most critical pay equity and market positioning data in a visual format.

    Internal Pay Analysis Insights tab showing mean pay, gender gap, workforce risk analysis, and pay gap per level
    The Insights tab provides a comprehensive analytics dashboard covering pay equity, gender gap, workforce risk, and tenure distribution.

  • Mean & Median Pay — Overall, broken down by gender (Mean Female Pay and Mean Male Pay). Highlights if your company’s average is below or above the sector average.
  • Workforce Risk Analysis — Shows how many positions are “Stable” vs. “At risk,” along with the Compa-ratio average, average tenure, and turnover ratio. This section also flags below-market pay positions directly.
  • Gender Gap — A visual representation of the male/female ratio in your workforce, and whether the gender balance is considered “Balanced” or not.
  • Variable Pay by Gender — Shows the percentage of male vs. female employees who receive bonuses, helping identify bonus equity issues.
  • General Gender Pay Gap — A bar chart comparing mean male and female pay with the calculated pay gap percentage.
  • Pay Gap per Level (Quartiles) — Breaks down the pay gap by organizational quartile (Q1–Q4), showing the male/female salary split at each level.
  • Tenure Distribution — A donut chart showing how long employees have been with the company (1 year, 2 years, 3 years, 4+ years).
  • đź’ˇ Tip: The Insights tab is especially useful when preparing reports for Pay Transparency audits or leadership compensation reviews. Use it in combination with the Employees tab to drill down from aggregate data into individual cases.

    Understanding the Compa Ratio

    The Compa Ratio (Compensation Ratio) is a key metric that tells you how an employee’s salary compares to the current market median for their role and location. It is calculated as:

    Compa Ratio = Employee Salary Ă· Market Median Salary

  • 1.00 = Salary is exactly at the market median
  • < 1.00 = Salary is below market (higher risk of turnover)
  • > 1.00 = Salary is above market (strong retention, potentially over budget)
  • A Compa Ratio of 0.82 (as shown in the example data) means the team is paid on average 18% below market — a strong signal to review compensation levels before talent starts to leave.

    Common Use Cases

  • Annual Compensation Review — Upload your full employee list and use the benchmark labels to identify who needs a salary adjustment.
  • Retention Risk Identification — Filter by “Risk loss” label to focus on the employees most likely to leave due to below-market pay.
  • Pay Equity Audit — Use the Insights tab to detect and report on gender pay gaps, bonus disparities, and quartile imbalances.
  • EU Pay Transparency Compliance — Generate the data needed to fulfill reporting obligations under the EU Pay Transparency Directive, including gender pay gap calculations and compa-ratio breakdowns.
  • New Hire Calibration — Before making an offer, use the Full Benchmark to confirm you’re offering a competitive salary for the role and location.
  • World’s leading Salary Benchmarking Solution

    TalentUp helps companies handle salaries effectively by offering clear, compliant, and data-based information that allows teams to create successful pay strategies and follow transparency rules.

    Sign up free TalentUp Salary Benchmarking Platform mockups showing the platform with graphic insights showing salary data

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