HR Glossary

What is Pay Gap Analysis?

A statistical examination of compensation data that measures the difference in pay between employee groups (typically by gender or ethnicity) after accounting for legitimate factors like job level, tenure, and location.

Why it matters in hiring

Pay Gap Analysis comes up whenever teams compare candidates, set policy or report on people data. Getting the definition right keeps decisions consistent, which is the same reason springhire scores every applicant against the same criteria rather than on impression.

Related terms starting with P

• Passive Candidate
• Pay Band
• Pay Equity
• Pay Equity Act (Canada)
• Pay Grade
• Pay Scale
• Pay Stub (Payslip)
• Pay Transparency

Part of the springhire HR glossary, 1,150+ HR, payroll and recruiting terms defined. Free, no signup.