(The Center Square) – Starting Tuesday, many employers in New York City will need to add new information to their job postings.
In January, the New York City Council passed Local Law 32. The ordinance requires all employers with four or more workers to include the minimum and maximum salary range for any job opening.
City leaders said the rationale for the law was to provide more transparency for job seekers and do away with any bias in hiring practices.
An amendment to the law was passed on April 28, giving businesses more time to comply with the law. It also allows employers to rectify the first violation before facing a fine.
The city’s Commission on Human Rights will be the enforcement arm for the law. That was included in the April amendment to ease concerns small businesses had about fears of facing lawsuits.
According to the commission, the ranges must be a “good faith” range and cannot be open-ended. The range, though, can be a fixed rate, like $20 per hour for any applicant. Salary also does not include other means of compensation, such as paid insurance, covered meals and housing, overtime, commissions, bonuses or stock awards.
Employers found violating the law for the first time will not pay a fine if they resolve the issue within 30 days of getting a notice. Fines, according to the commission, may reach up to $250,000.
Council Member Justin Brannan, D-Brooklyn, a co-sponsor of the initial bill and the amendment, said in April there wasn’t “a better time to level the playing field” than when people were returning to work.
“The livelihoods of New Yorkers are not a TV game show where the true salary is hidden behind a magical door if only you guess the right one,” Brannan said. “We need to respect that a person has a right to determine whether they will be able to pay rent and support their family when they apply for a job. And there is no question that identifying systemic pay inequities will become a lot easier when all of the cards are on the table.”
The nation’s largest city isn’t the only place where most employers have to post a pay range. Colorado passed a similar bill last year, but it also requires any business that employs at least one state resident to post salary ranges for any position available for remote work.
Nevada and Connecticut have also passed pay range laws, and a similar law in Rhode Island takes effect on Jan. 1.
