Changes are coming to New York’s salary transparency in job advertisements following Governor Hochul’s signing of the Pay Transparency Law in late 2022. Set to take effect on September 17, 2023, the new law would require all job postings in New York to include a salary or salary range for the position.
The new law mostly tracked the preexisting New York City salary transparency law, requiring employers to also include a good-faith pay range in all job advertisements. However, prior to its signing, there were amendments to the proposed law with regard to remote workers who work in New York State.
With these changes set to take effect soon, here is everything employers and job seekers should be aware of:
Salary and Job Description Disclosure
As mentioned, New York’s new salary transparency law requires employees to disclose the compensation or range of compensation for any job, promotion, or transfer opportunity. While not required, it may be wise for employers to maintain some records of history regarding compensation ranges for job advertisements. It may be helpful to maintain such records in the event they need to defend their compensation practices.
These disclosures will hopefully empower workers with critical information about their roles and help reduce discriminatory hiring and wage-setting practices, propelling New York to be one of the best places to work.
But what about those who work remotely in New York?
In and Out of State Remote Work
Following amendments to the law prior to its signing, the law applies only to postings for jobs that will be physically performed within the state. However, the law does require transparency for job postings that will be physically performed outside of New York but will report to a supervisor, office, or other location in New York. Employers must now analyze the reporting structure of out-of-state employment advertisements to guarantee compliance with the new statute.
New York City’s Pay Transparency Laws
Since November 2022, New York City’s Human Rights Law has required employers to follow a similar rule to include good-faith pay ranges in job advertisements. The new state law borrows the definition from this law on what an advertisement counts as, stating that “an ‘advertisement’ is a written description of an available job, promotion, or transfer opportunity that is publicized to a pool of potential applicants, including, but not limited to, postings on internal bulletin boards, internet advertisements, printed flyers distributed at job fairs, and newspaper advertisements.”
This definition makes it clear to employers that transparency obligations extend to both internal and external job listings.
Pay transparency is expected to continue to be a hot trend when it comes to employment legislation in New York. To learn more about pay equity legislation or your other employment rights, please contact a Tully Rinckey employment attorney today at email@example.com or at (888) 529-4543.