UPDATE – 12/20/2021
Pay Transparency Laws
- Starts April 2022
- Job Listing will now be required to have a salary range
Even if you are not in a state that currently requires you to be transparent with your salary ranges, being prepared for the inevitable is just smart business. AND if your company can start doing this before it’s required, you build good faith with your current employees and you will notice a better recruiting outcome as well.
Recap on States with Pay Transparency Laws?
Below are some states that have enacted or are working toward enacting pay transparency laws. As the trend for pay transparency continues, companies will need to stay vigilant on the new laws, especially when hiring anywhere in the US.
- California – employers are required to disclose the pay range to applicants upon request.
- Colorado – with the implemented of the most burdensome requirement with their state transparency laws, employers (with 1 or more employees) are required to disclose the pay range on the job posting, provide general description of other compensation available for the role, AND provide a general description of the benefits. Additionally, Colorado companies are required to provide written notice to their employees of any “promotional opportunity”
- Connecticut now requires employers to provide the salary range to applicants (1) upon request and (2) by the time it extends an offer of compensation (if the applicant did not request it).
- Maryland – employers are required to disclose the pay range to applicants upon request.
- New York City – employers are required to disclose the pay range on the job posting
- Nevada – employers are required to provide the pay range to applicants who have completed an interview, even without a request.
- Rhode Island – employers are required to disclose the pay range to applicants upon request. Employers are also require to provide employees pay range disclosures upon hire, when changing jobs, and if they ask for it.
- Washington – employers are required to disclose the pay range to applicants upon request. Employers are also required to provide the salary range to employees who are changing roles, if they request it.
- And other states such as Massachusetts and New York are currently reviewing bills for pay transparency.