AI & Compensation

An AI salary estimate is a conversation starter.

How to review the number without dismissing the employee who brings it to you.

By Kimihiro Ogusu, SHRM-SCP · October 7, 2026 · 5 min read

An employee arrives with a salary estimate from an AI tool. It is higher than their current pay. Your first response matters.

Dismissing the estimate can dismiss the concern behind it. Accepting it without checking the comparison can create another problem. A better response starts with curiosity: “Let’s look at what that number represents, then I’ll explain how we determine pay here.”

First, identify the comparison.

A job title alone is not enough. Ask what responsibilities, level, location and industry the estimate reflects. Clarify whether it describes base salary, total cash compensation or something else. A senior role with a bonus is not directly comparable with a different role’s base pay.

Then review the sources and dates. An AI answer can be useful for finding information or organizing questions, but a precise-looking number does not establish that the job match or underlying data is appropriate.

Next, explain your own method.

Your answer should not depend on proving the AI tool wrong. It should explain the market you use, what your salary range represents and the job-related factors considered in pay decisions.

  • Market context: Which roles, locations and employers are relevant?
  • Internal consistency: How does this role compare with other roles in the business?
  • Individual positioning: Which responsibilities, capabilities and contributions affect placement?
  • Decision process: When is pay reviewed, and who approves changes?
“Here’s how we determine pay” is a stronger starting point than “Your AI tool is wrong.”

Be prepared to find a real gap.

The employee’s estimate may be a poor comparison. It may also point to a role that has changed, a market that has moved or a range that needs review. A credible process leaves room for both possibilities.

If the evidence supports a concern, explain what will be reviewed and how the decision will be made. Avoid promising an adjustment before considering the role, other employees, budget and applicable requirements.

Prepare before the next conversation.

Start with one frequently questioned role. Check the description, review your market evidence and document the reasoning behind the range. Then identify what you need to clarify in your pay philosophy.

The useful outcome is a repeatable way to review evidence and respond respectfully—not a debate about which website or tool has the best number.

Further reading

OpenAI: Equipping workers with insights about compensation. Background on how workers use AI for compensation-related questions. The practical recommendations in this article reflect SolutionPort’s approach.

Back to all insights

A practical next step

Put the reasoning
to work in your company.

Talk with us about the question this raises for your pay program.