March Tip of the Month: New York Amends Forthcoming Pay Transparency Law

On March 3, 2023, New York Governor Kathy Hochul signed into law an amendment to New York State's pending Pay Transparency Law, which will become effective on September 17, 2023. As previously reported, the Pay Transparency Law will require employers with four or more employees to include a compensation range and job description in certain job advertisements. Whereas the original law required the inclusion of compensation ranges for any position that could be performed within the state of New York, the amendment clarifies that the law covers only postings for positions that will be physically performed, at least in part, in New York, and to remote positions that will require an individual to report to a supervisor, office, or worksite within the state.

The amendment also (1) clarifies that the law applies to both internal and external job advertisements and (2) removes the law's previous record-keeping requirement, which would have required employers to maintain records related to a position's compensation history and job description. Employers should promptly reassess their internal and external job advertising practices, in addition to ensuring that appropriate recruiting and other personnel are familiar with the new requirements.

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