In an effort to achieve greater pay equity, New York City is following a growing legislative trend by enacting a new salary transparency law. Last December, the New York City Council passed a bill, amending the New York City Human Rights Law (NYCHRL) by requiring New York City employers to include minimum and maximum salary information in job postings for positions located within New York City. The bill lapsed into law on January 15, 2022 and goes into effect on May 15, 2022.
Specifically, the new law makes it an unlawful discriminatory practice for New York City employers with four or more employees (including independent contractors) to advertise a job, promotion or transfer opportunity without including the minimum and maximum salary for that position. In stating the lowest and highest salaries, employers must act in good faith to determine what it believes at the time of posting it would pay for the advertised job, promotion or transfer. The law does not apply to a job advertisement for temporary employment at a temporary staffing firm.
The New York City Commission on Human Rights (NYCCHR) is likely to issue guidance relating to the implementation of this law in the coming months. In the meanwhile, covered employers can begin preparing for the effective date of this law, including by:
Setting or reviewing salary ranges for current positions to mitigate the risk of pay equity claims.
Developing or reviewing policies and practices relating to the disclosure of salary ranges in internal and external job postings.
- Educating human resources and other professionals responsible for job advertisements about the new law to ensure timely compliance.
If you have questions about this new law or the legislative trend relating to greater pay transparency, please contact us.