City salary posting law undergoes reform
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With remote work changing the way we conduct business globally, increased transparency is coming to job postings in New York City starting on Tuesday.
This is following warnings from some experts that companies could begin to let go of some of their employees and replace them with people from overseas who will do the same jobs for a lot less money.
Under the new law, companies will be required to list the approximate minimum and maximum salaries whenever they post a job opening.
The measure was put in place to address gender pay gaps by providing more transparency around pay.
The law was originally supposed to go into effect in May but it was delayed to give companies more time to comply with the rules.
Seven states have started requiring employers to disclose salary information to job-seekers in some circumstances.
New York City’s new law applies to employers with four or more workers. That amounts to about 1/3 of employers but roughly 90% of workers in the city, according to state Labor Department statistics.
The law says any job notice — from an online ad to an internal company bulletin board — must give the minimum and maximum pay the employer “in good faith believes” it will pay. There’s no limit on how wide the range can be, nor a prohibition on deviating from it if the “good faith” plan changes.
The law does not require salary information to be posted for snuffly remote jobs.