What are pay transparency laws in the USA?
As of January 1st, 2023, nine US states - including California, Washington and New York - have implemented pay transparency laws to prevent gender-based wage discrimination and promote fairness in the workplace.
Regulations differ by jurisdiction - but in most cases it is now illegal to pay men more than women for ‘substantially similar work’, with businesses required to include expected salary ranges and benefits in all job postings.
These requirements bring their own challenges for organizations - but non-compliance will lead to employers first facing a warning, and then up to $250,000 in fines if they continue to omit meaningful pay ranges in job adverts.
View your requirements by state 👇
Are you ready and able to comply?
| California | Upon request, all employers with 15 or more employees (at least one in California) must provide an applicant with the pay scale for the position for which they applied and provide an employee with the pay scale for their current position. |
| Colorado | In all job postings, all employers must disclose a salary range offered for the position, as well as a general description of any bonuses, commissions, benefits and other forms of compensation. This applies to all employers with at least one employee working in Colorado. |
| Connecticut | All employers with at least one employee in Connecticut must provide an applicant with the wage range for a position for which they’re applying and provide an employee with the wage range for their position upon their hiring, change in position or on request. |
| Maryland | Upon request, any employer engaged in business in the state of Maryland must provide the wage range to applicants upon request. |
| Nevada | Any employer in Nevada must provide the salary range for a position to a person who has completed an interview for the position and provide the salary range to an employee in the process of being promoted or transferring to a new position. |
| New York | Employers with four or more employees with at least one in New York must disclose the compensation or a range of compensation in any advertisement for a job, promotion or transfer opportunity - along with its job description. |
| Ohio | Employers with more than 15 employees in Ohio must provide a salary range upon a candidate’s request after a conditional offer of employment is made. |
| Rhode Island | Upon request, all employers must provide the wage range for the position for which an applicant is applying and provide an employee with the wage range for the employee's position at the time of hire or when they move into a new position. |
| California | All employers with 15 or more employees must disclose the salary range for each job posting as well as a general description of all benefits and other compensation. |
How can gradar keep you compliant?
By building an accessible, affordable, end-to-end job architecture system packed with progressive features, gradar wants to help all businesses comply with emerging pay transparency laws and be at the forefront of bridging the gender pay gap.
Job Evaluation
Considering professional knowledge, specific responsibilities, interpersonal skills and more, gradar provides a deeply analytical and highly objective approach to job evaluation that offers justification for non-discriminatory pay practices.
Job Matching
Our system translates your job grading results into job codes from numerous salary surveys and labour agreements - helping you to comply with the objective measuring and right to information aspects of the EU Directive.
Pay Gap Analysis
Spot discrimination before it becomes an issue! View the distribution of salaries within a grade among male and female employees, calculating a regression-based adjusted gender pay gap so you can see if you fall below the 5% threshold.
Compensation Structuring
gradar helps companies create meaningful salary bands and pay ranges so they can be fully prepared to post prospective salaries on job listings, making sure the figures are appropriate, competitive and - above all - equitable.
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Got questions?
Customer support is our top priority - and we’re always available to lend a hand! We’d be happy to arrange a call, live demo or extended evaluation period.