New Salary Transparency Law in New York City
This is huge! This is monumental! It’s the best thing since sliced bread! Last December the New York City Council voted for a new measure which would require employers to post salary ranges in on job posts! The law was passed on December 15 and was adopted on January 15. It finally took effect today after being pushed back from May 15, 2022.
Paycheck
The law:
Under this new law, employers must provide a minimum and maximum salary for any job located within the five boroughs when posting or advertising the job. Employers will also need to include the salary range for postings on promotion and transfer opportunities. The law will apply to all city employers with at least four employees including independent contractors. The law will not apply to staffing firms hiring temp workers as they already have a similar law. The NYC Commission on Human rights will be the city agency enforcing the law.
This new law is great for several reasons:
Less haggling over salary!
It will help level the playing field for job seekers not versed in the art of salary negotiation.
Knowing the salary ahead of time will allow the job seeker to make an informed decision about whether to apply for the job in the first place.
Wage equity for marginalized groups.
New York City already has some progressive employment laws on the books:
The Fair Chance Act (2015) prohibits employers from asking applicants about their criminal history until after a conditional job offer has been made.
Stop Credit Discrimination in Employment Act (2015) made it illegal for employers to check an applicant’s credit history in order to make a hiring decision.
In 2017 it became illegal for employers to ask job seekers about their salary history during the hiring process.
A few other places have salary transparency laws in the books, including California, Colorado, Connecticut, Maryland, Nevada, Rhode Island, and Washington State. The New York State Senate passed a similar salary transparency law in June, but it has not yet been signed by the Governor.
Not everyone one is on board with the new salary disclosure law, though. Some companies have already expressed some concern over this new legislation, including JP Morgan Chase and IBM. In Colorado, where a similar law exists, Johnson & Johnson stated that they would not hire remote workers from that state in order to avoid complying with the law.
I, for one, welcome this new salary transparency law. I think it will save job seekers and employers time and energy.
For more info:
https://news.bloomberglaw.com/daily-labor-report/pay-transparency-in-new-york-city-new-job-posting-law-explained
https://www1.nyc.gov/site/cchr/media/pay-transparency.page