Pay Transparency Laws by State

There was a time in recent history when employee discussions about compensation were prohibited, frowned upon, and generally considered bad taste. Those days are over. New laws require employers to explicitly disclose salary ranges in more states than ever. There is also a substantial push for transparency at the federal level (the Salary Transparency Act and Pay Equity for All Act were introduced in Congress was introduced last year).

In recent years, we have seen a significant shift towards pay transparency, with multiple states and cities implementing laws designed to address wage inequality and empower job seekers. As of 2024, these laws reflect a growing trend towards openness in compensation, challenging the traditional secrecy surrounding salaries in the workplace. Here is an overview of pay transparency laws across the U.S., focusing on specific states and cities that have enacted pay transparency rules.

To address pay equity issues nationwide, states are passing pay transparency laws. Here’s a state-by-state update on where laws have passed and where legislation is pending. The trend around pay transparency is accelerating. As of January 1, 2024, three new states have implemented pay transparency laws.

Pay transparency laws generally mandate that employers disclose salary ranges for positions to job applicants, and sometimes even to existing employees. The primary objectives of these laws are to reduce gender and racial wage gaps and to foster a more equitable and competitive job market. These laws vary in terms of scope, with some applying to all employers and others targeting businesses of a certain size or type.

Businesses of all sizes should make sure they’re aware of the new requirements.

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Pay Transparency Laws by State

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