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Our attorneys stay on top of changes in legislation, agency regulations, case law, and industry trends—then craft timely legal alerts to keep clients up to date on legal developments important to their business.

February 3, 2022

New York City Passes Law Requiring Salary Ranges in Job Listings

Companies that employ individuals in New York City will soon be responsible for disclosing more information about how much money job candidates could make if hired. The New York City Council passed a law in December 2021 that would make it an unlawful discriminatory practice for employers not to include in job listings the minimum and maximum salary available for any position located within New York City. In other words, businesses will need to share the range of pay that it in good faith believes it would spend on any advertised job, promotion, or transfer.    

The new law, which takes effect in May 2022, is expansive in reach. It will apply to all companies with four or more employees, which includes independent contractors and an employer’s partner, spouse, domestic partner, or child. Additionally, it could apply to businesses outside of the city as the law covers any postings that pertain to a “listing for employment within New York City.” Temporary staffing firms, however, are excluded from the law as they are already required to provide salary range information after interviews in compliance with the New York State Wage Theft Prevention Act. 

A growing list of cities and states have also passed salary transparency measures. Many of these jurisdictions—including California, Connecticut, Maryland, and Cincinnati—only require employers to reveal the salary range if an applicant asks for it. However, New York City’s version is similar to Colorado’s in that the minimum and maximum wage for the job must be disclosed when the advertisement is first published. These laws are part of an effort to eliminate wage gaps tied to sex- and race-based discrimination. The idea is to increase pay equity by making the salary negotiation process more open and leveling the playing field between employers and applicants. To that end, New York City and New York State in recent years have banned businesses from asking about a job applicant’s salary history.

If you have any questions regarding the content of this alert, please contact Bob Heary, Labor & Employment Practice Area chair, at rheary@barclaydamon.com; Payne Horning, law clerk, at phorning@barclaydamon.com; or another member of the firm’s Labor & Employment Practice Area.
 

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