New York pay transparency law goes into effect Sunday

A new state law goes into effect Sunday, requiring increased pay transparency in hiring and job retention.

Under the new law, employers “posting job openings will have to include reasonable salary ranges that they reasonably expect to pay,” said Timothy Domanick, a principal employment attorney at Jackson Lewis, a law firm with offices in Melville.

The new law aims to  provide job seekers with the kind of information that addresses systemic pay inequity and discriminatory wage-setting and hiring practices, according to the New York State Department of Labor.

The law requires employers to list salary ranges in advertisements or postings for not only job opportunities but also promotions. Those requirements are also stipulated for internal postings.

Domanick said that experts are looking for more guidance form the state, in terms of some of the nuances of the law. In the meanwhile, he said, this is “good time to audit” job descriptions so that they are as “up to date as possible.”

Employers with four people or more will be impacted by the new law, Domanick said. But small and mid-size business owners are so busy running their companies they may not realize the law is now in effect.

“Nobody wants to be caught by surprise,” Domanick said.

This week, Domanick and his Jackson Lewis colleague Christopher Valentino, in conjunction with the regional chapter of the Society for Human Resource Management, held a seminar at the firm’s Melville office to explain the law to local businesses.

Companies can say up-to-date with the newest laws and regulations by joining organizations such as SHRM,  and chambers of commerce, Domanick said.

The law is already in effect in New York City.

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