April 15, 2026
Salary Optimization May Be Limiting Your Salary
When negotiating a salary or a raise, most people don't know what they are up against.
Many companies purchase data from payroll processors and other sources to optimize salary expenses.
This info often includes previous job incomes and what increases you recieved. The info obtained by companies include address changes, credit card utilization, delinquent debt, and past due balances. This data aggregation determines the lowest salary you will accept.
The salary offered is typically about 3-6% above your minimum number. This is just enough to feel like you are negotiating.
Veena Dubai, a law professor, completed extensive research on algorithmic wage discrimination and found that when many employers in the same market use the same data vendors, it creates price-fixing of labor.
The company has the advantage with all the data. They know what you will settle for. You think you are negotiating. The system even accounts for your counter in advance.
You think your salary is based on the position; your knowledge and experience. It isn't. It is based on your desperation.
Salary optimization requires information. The primary source is a product called the Work Number. You can contact Equifax and freeze your info.
Take back control of your personal info, freeze your info and maybe even your salary negotiations!