In 2018, California became the first state in the US to require employers to be transparent about compensation. Now, in 2024, there are 10 states with pay transparency laws. Laws regarding pay transparency generally require employers to be honest with job candidates and current employees when it comes to salary information, total compensation, and remote positions.
Salary information can include wage ranges, but with varying requirements as far as how and when it must be disclosed. Total compensation refers to the full compensation package a company offers, such as bonuses, benefits, commission, etc. Some states require employers to disclose information for remote jobs, while others may limit the required transparency to hybrid or in the office roles.
In the first quarter of 2023, both the Pay Equity for All Act and the Salary Transparency Act were introduced to Congress. Both are still pending and, if passed, would require all US employers to provide candidates with wage ranges for open positions and protect candidates from having to provide their historical salaries.
The ten states with pay transparency laws are California, Colorado, Connecticut, Hawaii, Illinois, Maryland, Nevada, New York, Rhode Island, and Washington.