NYC Employers Adapting to Pay Transparency Law - SHRM
In New York City, a newly enacted pay transparency law requires employers to include a good-faith salary range in job postings.
As it turns out, good faith means different things to different employers.
Consider a recent ad from Citibank that listed a job with a salary range of $0 to $2 million—a spread so broad as to be meaningless. The financial services company has since taken down the ad, blaming it on a "technical issue that is causing some job postings to display a system default salary range."
Other job ads show salary spreads that are not preposterous but may still be too broad to be useful to job seekers.
For example, the New York Post has advertised a job for a tech reporter with a salary range listed from $50,000 to $145,000. Dow Jones posted an ad on Indeed for a software development engineer with a range of $40,000 to $160,000 a year. Some ads still have no range posted.
So, how far can a job listing push the limit before it runs afoul of the law? The New York City Commission on Human Rights is tasked with investigating complaints about employers not following the new regulation. The first infraction will result in a warning to the company, while a second could result in a fine up to $250,000.
"We are advising our clients that good faith means good faith," said Brooke A. Schneider, senior counsel with Greenwald Doherty in New York City. "It doesn't have to be a terribly narrow range, but certainly when you put in $0 to $2 million, or something like that, I...
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