New York: Pay Transparency Laws are Sweeping the State

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SB 9427, currently pending in the state legislature, will require employers with four or more employees to include a good faith salary range (minimum and maximum) and position description for each job, promotion, or transfer opportunity that can or will be performed, in whole or in part, in New York. The definition of employers includes employment agencies or any other employee or agent of an employer. Employers have the option of including a fixed level of compensation or a salary range. In the event the position is commission-based, employers must include a statement to that effect. SB 9427 does not define “job description” but employers should include a description of the position if they have one. There is a record-keeping requirement for both the compensation and job descriptions for each position. Employers may not retaliate against employees who exercise their rights under SB 9427.

In addition to the State, several other jurisdictions in New York are implementing their own pay transparency laws.

 

Ithaca, NY – Effective: September 1, 2022

Ithaca’s pay transparency law is substantially similar to that of the State of New York. It is an amendment to the city’s human rights ordinance and makes failure to comply an unlawful discriminatory practice. Unlike New York, it does not provide guidance as to the geographic scope of the law.

 

Westchester County, NY – Effective: November 6, 2022

Westchester County’s pay transparency law is substantially similar to that of the State of New York. However, it does specifically define a job posting as a “written or printed communication, whether electronic or hard copy, that the employer is recruiting and accepting applications.” A general solicitation for applications that do not refer to a particular position are exempt from this requirement. The law applies to the geographic boundaries of Westchester County.

 

Albany County, NY – Effective: Pending

Albany County’s introduced pay transparency law is substantially similar to that of the State of New York. Employers should note it does not include a geographic limitation – similar to Ithaca’s law.

 

Action Items

  1. New York employers should review and document salary ranges for positions performed in New York jurisdictions (and possibly local jurisdictions if you are an Ithaca or Albany County employer).
  2. Review and update job descriptions.
  3. Discuss requirements with employment agencies or other agents to ensure compliance.
  4. Subscribers can call our HR On-Call Hotline at (888) 378-2456 for further assistance.

 


Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser. © 2022 ManagEase