Earlier this month, pay transparency laws went into effect in Washington and California, requiring employers to list pay ranges on job listings. Later this year, New York state will also follow suit. These laws, already in place in Colorado, are one way that states are combatting wage gaps —including racial and gender pay gaps. In fact, the gender pay gap was cut by 45% in organizations that disclosed pay compared to those that didn’t. As more states, including South Carolina and Massachusetts, begin developing pay transparency laws, this could soon become the new norm.
Here’s what you need to know about the new pay transparency laws effective this year.
California: At the beginning of this year, California’s labor code began requiring employers with more than 15 employees to list salary ranges on job postings, even for postings on third-party websites.
Employers are also required to share pay ranges for an employee's current position, upon request — which is likely to put the cat among the pigeons... Home to many powerful companies — like Apple and Wells Fargo — and to millions of employees, California's pay transparency laws could soon become the new normal across states.
Washington: Similar to California, Washington now requires employers with more than 15 workers to share salary information on job postings — both internally and on third-party sites like Glassdoor and LinkedIn — thanks to the Equal Pay and Opportunities Act. Furthermore, company benefits, like health care, retirement benefits and sick leave, are also required on job listings. These requirements are effective whether the applicant will fill a position in person or remotely.
Rhode Island: Rhode Island has also required further pay transparency from employers. According to Rhode Island’s Pay Equity Act, if requested, employers are required to provide pay ranges for job listings if "inquired about". However, they don't have to list these ranges outright on job listings. Employers will also be required to disclose salary ranges before an employee is hired or before they change positions.
New York State: New York state’s transparency laws will go into effect in September of this year. Starting in September, New York employers are required to share pay ranges for job listings. This applies to employers with four or more workers. Pay transparency laws have been in effect in New York City since November 1, 2022, which made it the largest municipality in the U.S. to codify pay transparency.
Erin pairs personal experience with research and is passionate about sharing personal finance advice with others. Previously, she was a freelancer focusing on the credit card side of finance, but has branched out since then to cover other aspects of personal finance. Erin is well-versed in traditional media with reporting, interviewing and research, as well as using graphic design and video and audio storytelling to share with her readers.
Stock Market Today: Stocks Close Lower on Cyber Monday
The main indexes were choppy to start the week, though several e-commerce stocks jumped on encouraging online holiday shopping numbers.
By Karee Venema Published
Why Tesla Sued the Swedish Transportation Agency and Postal Service
Tesla has sued the Swedish Transport Agency and postal service after a strike halted the delivery of license plates.
By Joey Solitro Published
Apple Hikes Apple TV Plus Price and Other Services
Apple’s latest round of price increases follows price hikes from Netflix, Discovery and other streamers in the last few months.
By Joey Solitro Published
Apple Will Pay Some MacBook Owners Up to $395
Apple MacBook owners who have struggled with faulty butterfly keyboards could get a nice payout after a big legal settlement.
By Ben Demers Published
Best Cash Back Credit Cards November 2023
Smart Buying Looking for the credit card that pays the most cash back? These lenders may pay hundreds of dollars, with minimum hassle.
By Lisa Gerstner Last updated
Apple Shops Are Popping Up in Target Stores
Target is pairing up with the creator of iPad and iPhones to bring specialty services to its select Target Circle members. Free Apple Fitness+? Yes, please.
By Bob Niedt Published
What Is APR?
Even for those who pay off their credit card balances every month, knowing your APR is a good credit habit.
By Rivan V. Stinson Last updated
How to Spend $1,000: Find Cheap (or Free) Online Courses to Build Career Skills
Smart Buying There's a huge array of skill-building online courses that can level up your career for under $1,000.
By Kim Clark Published
Career Advice For New College Grads
career paths Research potential employers, and don’t wear pajama bottoms for Zoom interviews.
By Sandra Block Published
Overdraft Fees Are On Their Way Out
Smart Buying New overdraft policies are emerging as consumers and government officials pressure banks to get rid of the fees.
By Rivan V. Stinson Published