Advantages of Wage Disclosure Laws

Blog 03.13.23 |  Wage transparency has become one of the essential steps toward wage equity. Laws now require disclosure of pay scales to avoid differences or discrimination based on gender, race, and nationality. Many states have dedicated themselves to enacting pay equity laws, including California, Colorado, Connecticut, Maryland, New York, and Nevada. Recently, as of January 2023, Rhode Island and Washington joined the list.




Each state has its variations and adjustments, but the intent is the same: when posting job openings, they must be transparent and consider specific requirements in addition to the pay scale for each opportunity, promotion, or transfer, depending on the number of employees submits an annual pay information report.

Employers operating in regulated locations and employing remote labor or recruiting nationally have questions about how to apply and comply with the laws. At the same time, many regulations are used even if an employer does not have a physical location.


Wage disclosure laws help job applicants set their expectations and verify whether their current salary is on par with what the company plans to pay.

Advantages for employers:

First, they are competitive by leveling the talent search playing field with other employers.

By having a base salary number, recruiters can move forward and focus on interviews without wasting time researching amounts.

They will offer fair and balanced pay for each position every time.


Advantages for candidates:

They know in advance the salary range the job pays.

They can defend themselves internally if they seek a salary increase commensurate with their position.

While salary range is helpful information when looking for a job, there are other criteria to look for. Job seekers should conduct external research to identify the same range they need to be in.

The environment will set the pace for these regulations; job seekers will become more and more accustomed to offers with published salaries and push more companies and states to join this law.

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