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Broad Salary Ranges Posted in Response to New York City’s Pay Transparency Law

New York

It didn’t take long after New York City’s Pay Transparency Law went into effect on November 1st for companies to figure out ways to remain in compliance while giving them some wiggle room to work with. The law requires that companies include a good faith salary range, including the minimum and maximum that would be paid for an open position in any written or digital job posting.

In particular, some companies may be testing the limits of “good faith” by posting extremely broad salary ranges, including $50,000 to $145,000 for a reporter opening, $125,800 to $211,300 for a senior technical writer, and $106,000 to $241,000 for a general counsel position.

In another, the range was listed as $0 to $2 million (the company has since stated that this was due to a computer glitch, which has been fixed). Another approach is to pull job postings all together and rely on other means of recruiting, such as encouraging applicants to submit resumes to a general email address or use employee search firms to find applicants on their behalf.

Noncompliance with the new law results in companies having 30 days to fix the violation or face civil penalties of up to $250,000. However, without parameters around a “good faith salary range,” it may be difficult to prove noncompliance. Some companies may, in fact, need to offer a wide range if they are open to people with varying levels of experience.

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As always, Hire Image is here to help. Please contact us if you need assistance with the review of any changes to your hiring policies or procedures.

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