ADP Expands Its Compensation Solutions with Pequity Acquisition

On October 29, 2025, ADP® (Nasdaq: ADP), a leading name in HR and payroll solutions, announced its acquisition of Pequity, an innovative compensation management software provider launched in 2019. This strategic move is set to enhance ADP's global compensation management offerings, allowing the company to better cater to the diverse and evolving needs of its mid-size, enterprise, and multinational clients.

The landscape of compensation management is continuously shifting, influenced by factors such as the introduction of new pay transparency laws and the increasing demand for comprehensive insights and analytics. Employers today require dynamic compensation solutions that can offer the flexibility needed to navigate these changes effectively. According to Sreeni Kutam, the president of Global Product and Innovation at ADP, "Employers need flexible compensation solutions to help them address the dynamic talent market and make informed pay decisions."

Pequity’s software distinguishes itself by combining the intuitive layout of a spreadsheet with robust automation capabilities, allowing organizations to manage their compensation programs more effectively. With its advanced features such as flexible configurations, AI-enhanced insights, and scenario planning tools, Pequity stands out as a formidable asset in ADP's arsenal aimed at simplifying complex compensation strategies.

Kaitlyn Knopp, CEO and co-founder of Pequity, expressed excitement about the merger, stating, "Pequity was founded with the goal of enabling better pay decisions and simplifying the compensation process. Now, with the extensive expertise, resources, and global reach of ADP, we can continue to drive the future of compensation management innovation at scale."

By integrating Pequity’s capabilities, ADP aims to strengthen its offerings further, addressing intricate compensation planning needs while supporting its enterprise and global clients more effectively. The synergy between ADP and Pequity will likely lead to enhanced tools that empower employers in navigating their compensation strategies successfully amid a competitive talent market.

ADP has been at the forefront of HR and payroll solutions for over 75 years, continuously developing tools that address various business challenges faced by clients. From small businesses to global enterprises, ADP's solutions are designed to focus on people, helping to create better workplace environments through AI-driven insights and innovative design.

With more than 1.1 million clients worldwide, ADP’s commitment to enhancing employee experiences and operational efficiencies is evident. The acquisition of Pequity not only marks a significant expansion of their product line but also reflects ADP's dedication to evolving in response to market demands and continuing to innovate within the realm of HR management.

In conclusion, this acquisition not only strengthens ADP's position within the compensation management landscape but also promises improved functionalities and tools that will support various clients in making informed compensation decisions. As the HR tech space becomes increasingly intricate, this move signals ADP's proactive approach to meeting the challenges posed by an ever-changing market while establishing the groundwork for future innovations in compensation management.