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New York Amends and Expands “Pay Transparency” Law

19 Jul


Update applicable to:

Employers with four or more employees

What happened?

With the September 17, 2023, effective date for New York’s new pay range disclosure requirements approaching, state lawmakers recently amended the law to clarify the scope of remote jobs to which the law applies and to relieve certain information retention requirements for employers.

What are the details?

On March 3, 2023, New York Governor Kathy Hochul signed amendments to the pay transparency law (Senate Bill S1326), requiring employers to disclose minimum and maximum annual salaries or hourly wages in job advertisements, internal promotions, or transfer opportunities.

Originally, the law covered jobs performed in New York, but the amendments limited it to postings for jobs physically performed in the state. However, the scope was expanded to include jobs physically performed outside of New York but reporting to a supervisor, office, or work site in the state. This change places a burden on employers to consider the reporting structure of out-of-state job listings to ensure compliance with the amended law.

The amendments also clarify that the law applies to electronic job postings and remove the requirement to retain records related to pay disclosure. The amendments are set to take effect on September 17, 2023.

For more information, please see the links below:

Official Bill Page

Bill: S1326

Law Firm Article 1, Article 2

What do employers need to do?

With the effective date of the pay disclosure law approaching later this year, employers may want to consider bringing their hiring and compensation practices in line with the law’s requirements and the subsequent amendments. 

Need help understanding how changes to employment laws will affect your business?

Learn more about how Vensure's New York PEO services can help you navigate complex employment laws and keep your business compliant.

This communication is intended solely for the purpose of conveying information. The present post might incorporate hyperlinks directing readers to websites managed by third-party entities. The inclusion of any links within this communication is meant to serve as points of reference and could encompass opinion articles from various law firms, articles from HR associations, official websites, news releases, and documents of government agencies, and other relevant third-party sources. Vensure has no authority over these external websites and bears no responsibility for their content. Furthermore, Vensure does not endorse the materials present on these websites. The contents of this communication should not be interpreted as legal advice or as a legal standpoint concerning specific facts or scenarios. Nor should it be deemed an exhaustive compilation of facts potentially pertinent to federal, state, or local laws. It is strongly advised that employers solicit legal guidance from an employment attorney when undertaking actions in response to any legal updates provided. This is due to the possibility of future alterations occurring in federal, state, and local laws, regulations, as well as the directives and guidelines issued by governing agencies. These changes may transpire at any given time, potentially rendering certain portions of the content within this update void or inaccurate.

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