Wage Transparency

New York City is the latest jurisdiction to pass wage transparency legislation. Employers will be required to include the minimum and maximum starting salary for any "advertised job, promotion or transfer opportunity." This will take effect on May 15, 2022, and makes it a violation of New York City's discrimination law to omit salary ranges from advertisements, for which employers could be fined up to $125,000 (or $250,000 for a malicious violation), among other remedies. It remains to be seen whether the law applies to all jobs advertised in NYC or only to jobs physically located in NYC and whether salary ranges are expected for hourly positions. The New York City Commission on Human Rights (NYCCHR) is expected to issue rules to clarify the requirement.

Other states/localities that must provide wage info include:

• Laws in Maryland and Washington State require employers to disclose the pay range for a position upon an applicant's request.
• In California, an applicant who has been interviewed for a position may request the pay range.
• In Nevada, employers must provide salary range information to any applicant who has been interviewed for a position, even absent a request.
• In Connecticut, employers must disclose the wage range upon the earlier of (i) the applicant's request or (ii) when a job offer is made.
• Rhode Island enacted a similar law, scheduled to go into effect on January 1, 2023, which will require employers to provide applicants with the salary range for a position upon the earlier of the (i) applicant's request, (ii) when inquiring about an applicant's salary expectations, or (iii) when an offer is made.
• In Ohio, local laws in Toledo and Cincinnati require employers to provide the salary scale for a position if an applicant who has received a conditional offer requests the information.
• Colorado requires compensation and benefits information to be included in job postings.

Employers operating in multiple jurisdictions should monitor the ever-growing patchwork of wage transparency laws. And remember, at the federal level, the National Labor Relations Act (NLRA) can protect employee discussions involving compensation as concerted activity. For questions and guidance on wage transparency requirements, reach out to your FrankAdvice HR Consultant.