Update – The Effective Date for the NYC Pay Transparency law has been amended and changed from May 15th, 2022, to November 1st, 2022.
The NYC Pay Transparency law is scheduled to take effect on November 1st, 2022. Under this law, it will be mandatory to add pay ranges to all job listings for companies based in New York State.
This is following 2017’s salary history law. This law made it illegal for public and private employers of any size in New York City to inquire about an applicant’s salary history during the hiring process. This includes on applications, in interviews and even while conducting reference checks.
As a hiring manager, think of the last time you posted a job online. One of the most challenging topics to broach was probably one of the most important. What is the salary range? In the world of staffing, some recruiters like to get this conversation out of the way early, and others do not for a number of different reasons.
As a firm built upon our Applicant-Centric philosophy, we certainly see the benefits to pay transparency. We also believe that ultimately it can help employers land the right person for their open role, faster.
The NYC Transparency Law can also help you quickly identify the best match. This is because you’ll be giving full transparency (a top priority for today’s job seekers.) In addition, you’ll likely save time by avoiding the back and forth that traditionally results from the negotiation process.
As you prepare for the upcoming NYC Pay Transparency Law, consider taking time to audit your pay scales. Also, consider revising your job posting policies regarding employee compensation to ensure compliance. In addition, employers should document their “good faith” discussions when setting pay ranges. This will help defend against claims for violations of the new law.
Another option to consider is partnering with a staffing agency to support your hiring process. One that can give you access to a diverse candidate pool and has a solid reputation for matching job seekers with the right positions for them.
Brandi Levenduski, MHRM, PHR, SHRM-CP, is Atrium's Senior Director of Employee Relations and Compliance. She brings over 15 years of experience in the Employee Relations space.
Copyright © 2023 Atrium. All Rights Reserved
Copyright © 2022 Atrium.
All Rights Reserved.