Wage Transparency Law comes into effect in New York City

With effect from November 2022, employers will be mandated to make compensation details public along with job postings


Starting 1 November, employers will have to mandatorily disclose the salary or hourly wage in job postings and job ads in New York City. Many retail brands began disclosing their salary ranges even before the 1 November deadline.

A majority of employees are all for salary disclosures and wage transparency according to various surveys. Apart from New York City, states such as Nevada, Rhode Island, California, Maryland, Connecticut, Colorado and Washington are also in the process of establishing or have already come out with their own wage-disclosure laws.

This transparency rule wave is expected to continue.

Most people are of the opinion that pay transparency will lead to positive changes such as equality in terms of compensation. That means, it may not be long before people start getting paid equally for the same work or work with similar value, irrespective of the race, gender, or rank they belong to.

Additionally, revealing the wage range may also draw employees who like to be clear in terms of what remuneration to expect and may even encourage them to seek more than what they would have actually demanded.

Of course, those who do not support this wage-disclosure law feel that it comes in the way of employees’ flexibility and deprives employers from considering a wide / diverse pool of candidates for a vacancy. Some feel that this may also lead employers to rely more on remote workers.

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