On January 15, 2022, New York City enacted legislation requiring all covered employers to include a minimum and maximum salary for the position advertised. The new law was set to go into effect on May 15, 2022. However, following the City Council’s passage of an amendment to the law, assuming the mayor signs it, the effective date will be November 1, 2022.
The amendment makes the following changes to the legislation:
- The law has been revised for clarity, from requiring “minimum and maximum salary” to requiring “minimum and maximum annual salary or hourly wage” for the advertised position.
- The amendment reinforces a limited exception to the requirements for positions that cannot or will not be performed, at least in part, in New York City (job advertisements for temporary employment at temporary help firms remain excluded).
- The amendment creates a limited private right of action, stating: “[E]mployee may bring such an action against their current employer for an alleged violation of this subdivision in relation to an advertisement by their employer for a job, promotion or transfer opportunity with such employer.”
- The amendment provides a civil penalty of $0 for a first violation if the violation is cured within 30 days of service of complaint.
Next Steps for Employers
If the amendments are approved, employers will have more time to comply, and it is expected that the city will issue updated guidance. This being said, it would be prudent to review both their external and internal recruiting practices, specifically, as it relates to posting of open positions and to examine compensation practices to ensure that wage ranges for open positions are in line with industry and market data for competitiveness and retention of employees.
Even with the amendment, many key aspects of the legislation will remain in tack, so in the interim, employers may wish to review the existing guidance to understand the major provisions of this law. Additionally, NYC is among one of many states and localities that have enacted similar laws, resulting in multistate employers needing to be cognizant of any other applicable state or local laws for workers in other jurisdictions.
HR Works will continue to monitor this topic and provide updated information as it becomes available.
