Being clear and transparent about employee compensation is a step towards pay equity. So, more and more states are starting to require it in job postings.
And, many companies are listing salary info even if it’s not required by law.
Are you compliant? Pay equity laws vary based on the state you are hiring in. Here’s a list of 6 pay equity laws by state where employers are required to list salary ranges in job postings or disclose them during the hiring process:
1. California Pay Equity Law
- Passed Date: August 30, 2022
- Effective Date: January 1, 2023
Impact on Job Descriptions
California passed a law (Senate Bill 1162) requiring employers (with 15 or more employees) to post salary information on all job postings. The law aims to close wage gaps.
SB 1162 will impact the largest U.S.companies like Alphabet Inc, Meta Platforms, and Walt Disney.
California Senator, Monique Limón said:
“This is a big moment for California workers, especially women and people of color who have long been impacted by systemic inequities that have left them earning far less than their colleagues. As we continue to build a sustainable economy, we must ensure every worker is paid equitably.”
source: Los Angeles Times
2. Colorado Pay Equity Law
- Passed Date: May 22, 2019
- Effective Date: January 1, 2021
Impact on Job Descriptions
The Colorado Pay equity law:
“requires employers to include compensation in job postings, notify employees of promotional opportunities, and keep job description and wage rate records.”
source: Colorado Department of Labor and Employment
When this new law went into effect in 2021, companies like Lime Bike, Nike, Johnson & Johnson, Twitter, Oracle & others faced a twitterstorm over using “except in Colorado” language in their job postings.
3. New York City Pay Equity Law
- Passed Date: January 15, 2022
- Effective Date: May 15, 2022
Impact on Job Descriptions
The main impact of the NY pay equity law on job descriptions is that it requires employers with 4+ employees to list:
“a “good faith” minimum and maximum salary range on for all advertised NYC job, promotion and transfer opportunities.”
source: National Law Review
If companies fail to include a salary range, it will be considered an unlawful discriminatory practice under the City’s Human Rights Law.
4. Nevada Pay Equity Law
- Effective Date: October 1, 2021
Impact on Hiring
Under the law (Senate Bill 293), employers in Nevada can’t ask applicants about their salary history. They must disclose salary range details to candidates automatically after the first interview. For current employees seeking promotion or transfer, employers must give pay ranges after the employee completes the interview and requests the information.
The law applies to private employers, staffing firms, and state, county, and local governmental agencies in Nevada.
5. Ohio Pay Equity Law
- Effective Date: June 1, 2020
Impact on Hiring
Ohio Rev. Code 4111.17 says that Ohio employers are restricted from asking candidates about their salary history. And they must also disclose the pay range after a job offer or when the candidate asks for it.
Here are the full wage disclosure requirements:
Employers in Cincinnati who employ at least 15 employees within Cincinnati are required to provide an applicant, upon reasonable request, the pay scale for a position after the applicant has been given a conditional offer of employment.
Employers located within Toledo who employ at least 15 employees for pay within Toledo must, upon reasonable request from an applicant and after the applicant has been given a conditional offer of employment, provide the applicant a pay scale for the position sought.
source: Fisher Phillips
6. Washington Pay Equity Law
- Passed Date: March 30, 2022
- Effective Date: January 1, 2023
Impact on Job Descriptions
The WA pay equity law requires Washington state employers to include a salary range, benefits information, and other compensation details in job postings.
According to SHRM:
“Specifically, the new law will require Washington employers with 15 or more employees to affirmatively disclose in all job postings a wage scale or wage range, as well as all of the benefits and other compensation to be offered, in connection with the position, regardless of applicant request.”
Why I wrote this:
At Ongig, we help employers include pay ranges for job postings by state so you remain compliant with your state’s pay transparency law (and attract more top talent). Kindly click the demo request button to learn more.
Shout-outs:
- Nevada Joins Other States in Creating Pay Equity Law (Fisher Phillips)
- California Passes Law Requiring Companies to Post Salary Ranges on Job Listings (by Jeff Green and Tiffany Stecker)
- New California law will require job postings to include salary ranges (by Jonah Valdez)
- Washington State to Require Salary Ranges in Job Posts (by Roy Maurer)
- Ohio Pay Equity (by Fisher Phillips)
- Colorado Equal Pay for Equal Work Act, Part 2 (by CO Dept. of Labor and Employment)
