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AirTalk

Reddit tries banning salary negotiations to eliminate gender pay gap

SAN FRANCISCO, CA - MARCH 27:  Ellen Pao (R) leaves the San Francisco Superior Court Civic Center Courthouse with her attorney Therese Lawlwess on March 27, 2015 in San Francisco, California. A jury found no gender bias against Reddit interim CEO Ellen Pao and former employee at Silicon Valley venture capital firm Kleiner Perkins Caulfield and Byers. Pao was suing Kleiner Perkins Caulfield and Byers for $16 million alleging she was sexually harassed by male officials.  (Photo by Justin Sullivan/Getty Images)
Ellen Pao (R) leaves the San Francisco Superior Court Civic Center Courthouse with her attorney Therese Lawlwess on March 27, 2015 in San Francisco, California. A jury found no gender bias against Reddit interim CEO Ellen Pao. Now, Pao is banning salary negotiations at Reddit.
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Justin Sullivan/Getty Images
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Listen 18:21
Reddit tries banning salary negotiations to eliminate gender pay gap

Reddit is banning salary negotiations in an attempt to eliminate the gender pay gap at the company.  

Details are scant, but in an interview with the Wall Street Journal, interim CEO Ellen Pao explained that one reason behind the decision is because men are traditionally stronger negotiators than women.

“Men negotiate harder than women do and sometimes women get penalized when they do negotiate,” Pao told the Journal. “We come up with an offer that we think is fair. If you want more equity, we’ll let you swap a little bit of your cash salary for equity, but we aren’t going to reward people who are better negotiators with more compensation. We ask people what they think about diversity, and we did weed people out because of that.”

What do you think of Reddit’s latest move? Does it turn away qualified candidates? Does it really level the playing field for all employees?

Guests:

Joelle Emerson, CEO and cofounder of Paradigm, a consultancy in the Bay Area that works with tech companies to cultivate a diverse workforce

Rebecca Kieler, career management consultant based in the Bay Area with 20-plus years of experience in the field. She’s worked with companies such as Sun Micro Systems, Johnson & Johnson, and Yahoo