OpenComp Announces Record Growth As Employers Seek Better Compensation Clarity Amid Groundswell of Pay Legislation
A tumultuous and rapidly changing labor market and expanding pay legislation have pushed CEOs, HR executives and people leaders past a major tipping point, investing in new software and insights to make more informed decisions about how they pay. With employees pushing for more wage transparency, and state and local governments flat out requiring it, companies can no longer afford to get compensation wrong. As a result of these driving forces, OpenComp, the end-to-end compensation intelligence software provider, today announced record revenue and customer growth in 2022 that spanned a multitude of industries, company sizes and countries, indicating an urgent need for businesses to fix a system that has been broken for decades.
In 2022, legislation in New York City went into effect, requiring employers to publish pay ranges in job postings, and California and Washington announced pay ranges need to be published as of January 1, 2023 - with laws in more states like New York on the way. But, salary ranges can't be done ad hoc to fulfill a short-term need; people teams need to build an entirely new infrastructure to deploy them effectively across the entire organization, requiring better data, insights and workflows to get the job done.
As a result, OpenComp's revenue grew 5x, and its customer base increased more than 6x. Each quarter, both software revenue and customer base outperformed every prior quarter, with December 2022 marking more deals and revenue than any other month in the year. This growth represents significantly more industry, geographic and role coverage - up to 18 industries, 41 countries and 4,000 private and public companies with the same deep data quality that customers have experienced with OpenComp.
"As more and more states passed pay transparency legislation, we saw firsthand that people teams didn't have the resources to build strategic compensation programs and comply with salary range requirements," said Thanh Nguyen, CEO and co-founder of OpenComp. "Our customers have recognized that without a swift response, they risk not only losing their employees' and candidates' trust, but also imperiling their headcount planning and financial future. When all eyes are on spend, OpenComp's AI-driven, full-cycle platform empowers HR to design the compensation programs that make the best financial sense and activate them across the organization."
Manual processes like building ranges and crafting job offers that align with company strategy move too slowly for modern businesses, and often require tens of thousands of dollars in expertise and months-worth of time they don't have in order to win top talent. OpenComp released solutions like Range Builder and Intelligent Offers to help employers meet this paradigm shift. Employers such as AllBirds, Headspace, Panther Labs and Yummly adopted OpenComp's end-to-end technology to adapt their compensation strategies for the modern workplace - one that provides clarity at the point of every decision about pay. For example, an OpenComp customer using Range Builder saves six months of work and $15,000 on average.
"With OpenComp, we empower recruiters and hiring managers with information when making hiring decisions and have peace of mind that every new hire is being paid equitably with existing employees," said Shathiya Rengalwar, head of talent at Panther Labs. "We are very excited about recent pay transparency legislation in California, and we are totally ready thanks to data from OpenComp to make our pay ranges."
To learn more about OpenComp and sign up for free, please visit http://www.opencomp.com.
Employers and employees use OpenComp to get clarity at the point of every compensation decision. Together, they're pioneering a new standard for compensation, one that's competitive, equitable and scalable.
With OpenComp's Compensation Intelligence Platform, business and HR leaders optimize compensation program effectiveness with benchmarking, design, and activation tools. Managers, recruiters, employees, and candidates use OpenComp to make the best compensation decisions for themselves and their teams.
Founded in 2021 by Salesforce's founding HR team, OpenComp is backed by J.P. Morgan, TIME Ventures (the investment fund for Marc Benioff), 8VC, and more. Get started for free at www.opencomp.com, where tiered pricing and services are also available.
View source version on businesswire.com: https://www.businesswire.com/news/home/20230207005399/en/