> The end result is a company giving pay transparency ends up either with a much bigger labor bill, or staffed by poor performers.
I think that a system based on secrecy and/or asymmetry of information won't last long, and in fact I think the current "chaos" happening in the labor market suggests that a majority caught on to what their "true" market value is despite salary secrecy and companies will have to deal with a bigger labor bill no matter what.
When it comes to salary pricing. Companies respond to "We need employees but can't find any" much more quickly than "Our compensations seems off market averages."
I think that a system based on secrecy and/or asymmetry of information won't last long, and in fact I think the current "chaos" happening in the labor market suggests that a majority caught on to what their "true" market value is despite salary secrecy and companies will have to deal with a bigger labor bill no matter what.