> Full pay transparency works well in two settings. One is where pay levels are based simply on rank and tenure, and perhaps location—not on performance. Think government agencies.

But, that's not how government agencies work; in the federal general schedule system initial pay steps within a grade can vary based on special needs of the hiring agency or special qualification of the candidate, and advancement in steps within the grade is based not only on longevity but acceptable performance.

State and local civil service systems I've seen seem to be generally similar.