Employers in NYC Required to Include Salary Range in Job Postings as of November 1, 2022
As employers will recall, earlier this year, New York City enacted a law requiring employers to include the minimum and maximum salary in job postings. This requirement goes into effect on November 1, 2022, so employers should begin preparing for compliance with the new law.
Under the law, employers with four or more employees (or at least one domestic worker) must include the minimum and maximum annual salary or hourly wage in any advertisement for a job, promotion, or transfer opportunity. Guidance from the City defines “advertisement” as a written description of an available job, promotion, or transfer opportunity that is publicized to a pool of potential applicants, regardless of the medium of publication.
Job advertisements must include a range of the base annual or hourly wage or rate of pay. In stating the minimum and maximum annual salary or hourly wage for a position, the range may extend from the lowest to the highest annual salary or hourly wage the employer in good faith believes at the time of the posting it would pay for the advertised job. However, job advertisements do not need to include other forms of compensation or benefits offered in connection with the position, such as health, life, or other employer-provided insurance; paid or unpaid time off work; retirement or pension benefits; severance pay; overtime pay; or other forms of compensation such as commissions, tips, bonuses, stock, or the value of employer-provided meals or lodging.
Salary information must be included in advertisements for positions that can or will be performed, in whole or in part, in New York City, whether from an office, in the field, or remotely from the employee’s home.
The New York State Senate also passed a bill that, if enacted, would require employers to include the range of compensation and the job description (if such description exists) in each advertisement for a job, promotion, or transfer for roles that can or will be performed, at least in part, in New York State. The bill is currently awaiting the Governor’s signature.
With the NYC law taking effect on November 1, 2022, employers should continue to design, and begin to implement, their compliance strategy. For instance, employers should collect compensation information that will need to be included in job postings, develop a process for including the required information in job postings, and train employees involved in recruiting on the new law. Gathering the compensation information may also cause employers to notice potential discrepancies in compensation within their organizations for employees of similar job titles or functions. Employers should consider the best way to analyze and assess any variances and work with counsel to develop an approach that helps mitigate potential legal risks. If you have any questions about the new law or need assistance amending your job postings or related policies and processes, please contact Amanda M. Baker at abaker@fglawllc.com, or any attorney at the firm.
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