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Mark Frein is the COO of Oyster, and brings a wealth of experience from both commercial and HR leadership roles, having previously served as Chief People Officer. His unique background blends startup and operational experience, which makes him an insightful voice on compensation practices, particularly for tech companies navigating global talent. In this interview, Mark shares his philosophy on building fair, scalable compensation frameworks and why it's crucial to have clear, transparent conversations about pay early in a company's growth.
What motivated you to transition from Chief People Officer to COO, especially in such a complex, distributed environment?
I’ve always had a blend of roles, and shifting from CPO to COO felt natural. Before HR leadership, I was a CEO of a small company. That gave me a good mix of commercial and people experience. The transition to COO was driven by a desire to broaden my impact beyond HR and bring more of that commercial sensibility to the entire business. In startups, it’s not just about having a "seat at the table"—it’s about contributing to business outcomes from every angle.
As COO, I manage HR, legal, product, and more. My experience as a CPO helps me guide these teams while keeping people at the centre of every decision. That’s especially important in a global company like Oyster, where fairness and alignment across so many roles and regions are key.
Given your experience in both People and Operations functions, what’s the best way for Heads of People to drive compensation strategy at a startup?
Heads of People need to align compensation with the company’s goals, but it’s crucial to involve other leaders in creating that strategy. Don’t go off and create it alone — bring in stakeholders early. You need everyone on board, especially since they’ll be the ones communicating and defending it. When they’ve had a hand in building it, they won’t throw HR under the bus when tough conversations arise.
It’s also about being transparent. Clear compensation frameworks allow managers to speak confidently about pay. This avoids the common situation where someone gets a raise and has no idea why—or worse, why they didn’t get one. When managers understand the logic behind pay decisions, it builds trust with their teams.
At what stage should startups think about being strategic with compensation?
There’s no such thing as “too early.” Even if you’re a startup with just 10 people, compensation strategy matters. While it might not be your top priority in the early days, it’s essential to build a framework before you scale. Waiting too long means you’ll struggle to ensure fairness as you grow.
The tipping point is when you start hiring managers. Once you have that layer between founders and employees, you need a clear approach to compensation. Otherwise, bias and inconsistency can creep in, with managers paying their teams based on personal preferences rather than an equitable system.
What advice would you give People leaders trying to balance market data with philosophical considerations in compensation?
You have to balance the tactical—what to pay and how to pay it—with the philosophical—what’s the right thing to do for the company’s values and people. Market data gives you a baseline, but it doesn’t tell you whether it's right for your company.
People leaders need to ask, “Does this pay philosophy align with our culture?” and “Will it help us retain the talent we value most?” Compensation is deeply emotional, so consistency and transparency are key to maintaining trust with employees.
What about when it isn’t working, when should People leaders consider evolving their compensation philosophy?
People leaders need to keep an eye on both external market trends and internal data to determine if a compensation philosophy is still working. Are you still attracting and retaining the right talent? If not, it might be time to re-evaluate.
Internally, are there issues with morale or engagement that tie back to compensation? If your philosophy no longer reflects the company’s values or isn't working competitively, that’s when you need to make adjustments. Compensation strategies should evolve as the business grows.
With tightening budgets and more focus on performance, how should companies approach compensation to drive results?
Consistency and transparency are key. Set clear pay bands and performance metrics, and stick to them. Avoid negotiating every hire’s salary individually, as it creates inequity and confusion. When performance is the reason for a raise, make it clear what’s driving that increase—whether it’s exceeding expectations or moving to a higher-level role.
It’s important to separate performance-based raises from market-driven adjustments. Employees should know whether they’re getting more because of their performance or because the market has shifted. This clarity helps avoid the common problem where employees get raises but have no idea why.
How can People leaders empower managers to have meaningful conversations about pay?
Start by making sure managers understand the company’s compensation philosophy inside and out. Involve them in its development so they feel ownership. Train them to be comfortable with those discussions, especially in dealing with expectations that might not align with reality. It’s a loaded topic, but managers need to handle it confidently.
It helps when compensation is transparent. When employees know the pay bands and how decisions are made, there’s less of an information gap. This takes pressure off managers because employees have a clearer sense of what to expect, reducing surprises or disappointment in those conversations.
Any final thoughts for People leaders at startups looking to improve their compensation practices?
Compensation is inherently ethical work—it’s about fairness, transparency, and keeping your promises to employees. Be transparent about how and why compensation decisions are made, and you’ll build trust, even if not everyone is happy with their pay.
Ultimately, creating an environment where employees understand their compensation structure allows for open, honest conversations. It also helps the company align its pay practices with its broader cultural and business goals.
Oyster has shared an open handbook on their distributed work practices, you can read more about this here.
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