New York State Companies Will Soon Be Required to Add a Salary Range to Job Listings
The new salary transparency law will go into effect in September 2023.
Forget about wasting so much time interviewing for an underpaid gig. Finding a job that pays your bills—and weeding out the ones that don't—recently became much easier in NYC, and the mandate is now about to extend state-wide.
In early November, a new law required New York City-based companies to add salary ranges in their job listings. The new measure, which aimed at improving pay transparency and fighting off discrimination, affects companies with at least four employees, the New York City Commission on Human Rights announced in a memo. Owners, as well as individual employers, count towards the four-person requirement, and as long as at least one person is based in NYC, the law applies, and the workplace is covered.
Now, the law is extending to New York state. Starting September 17, 2023, the state will require most private employers to list a salary range on the job posting. On Wednesday, Governor Kathy Hochul signed the new legislation, which will affect employers with at least four employees.
"In order for New York to continue being the best place to work, we must create the best protections for our workers," Governor Hochul said in a statement. "And this legislation will help do exactly that."
Employers will have specific guidelines to follow to comply with the new rules. On each job listing, salary ranges will need to be clearly defined and not open-ended. They will have to state a minimum income, which can be hourly, salary, or another metric, and a maximum income. The range will be considered a "good faith salary," which indicates that the employer honestly believes at the time of the job listing that they are willing to pay the candidate a number within the range.
Companies will take a while to adapt to the changes, but they will face penalties if they fail to comply. Under the new state law, in fact, employers can face fines of up to $3,000 per violation if they break the transparency rule.