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Shedding Light on Salaries: A Guide to Employer Laws Around Pay Transparency

For job seekers, understanding a position's salary range is crucial. It helps them decide if applying makes sense for their financial needs. Traditionally, getting salary information has been like pulling teeth. But a shift is happening!  Many states are enacting laws that require employers to be more transparent about pay.


The Rise of Pay Transparency Laws

More and more states are recognizing the benefits of salary transparency.  These laws generally require employers to disclose a position's pay range in job postings. This can be a salary range, an hourly wage range, or a combination of both.  Here's a quick rundown of where things stand:

  • Mandatory Disclosure:  California, Colorado, Connecticut, Maryland, Nevada, Rhode Island, and Washington currently require employers with a certain number of employees (usually 15 or more) to include a pay range in all job postings.  New York City also has a similar law.

  • Disclosure Upon Request:  In some states, employers must disclose salary range information to applicants upon request. These states include Delaware, Hawaii, Illinois, Maine, Massachusetts, Michigan, New Jersey, and Oregon.


Why the Change?

Pay transparency laws benefit both employers and employees. For applicants, it allows them to target jobs that align with their salary expectations. This saves them time and frustration. For employers, it can attract a more qualified pool of candidates who are serious about the position. It can also help reduce time spent interviewing applicants who wouldn't be a good fit due to salary expectations.


What You Should Do

If you're a job seeker in a state with a pay transparency law, take advantage of it! Look for job postings that include salary ranges. If a range isn't listed and the law requires it, don't hesitate to ask the employer for this information.


Important Note

Laws are constantly evolving, so it's important to stay up-to-date on the specific regulations in your state.  The Department of Labor website (https://www.dol.gov/) is a good resource, but you can also find information from trusted employment law resources or local government websites.


Transparency is Key

Open communication about salary is a win-win. By requiring employers to be more transparent, these laws are helping to create a fairer and more efficient job market for everyone.

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