In my opinion, there's an unfair information asymmetry, as the company knows how much everyone is getting paid.
I've worked in government jobs where everyone's pays are easily known, and there is still some (smallish) amount of jealousy because those pays are still based on a grading, so some people will think that others are not doing enough work to justify their grading.
That's unnecessary. If you've a gram of experience you should realise it's generally in your own best interests not to tell your colleagues what you're on.
> justify possible exploitation.
If you don't like the pay, get another job. I don't see where the exploitation comes from. Unless you're suggesting people who don't like the pay can't get a job, can't negotiate and should for some reason therefore be excused of the need to do either with strict pay grades? I can't see how that would work across the whole market, and unless there is pay fixing then market forces will prevent it working.
Source: I had so many discussion where someone complained about x getting a company car. I would not be in favor of them knowing the contract I have with my employer.
Companies can abuse this fact, out of question, but there are so many other factors involved, that it doesn't seem worth it to me.
