Mon. Nov 18th, 2024

Eight other states have passed similar laws requiring businesses to tell job applicants what pay they may receive if hired. (Photo by Joe Raedle/Getty Images)

Job listings will be required to include what applicants’ potential pay would be under a new law signed by Gov. Phil Murphy Monday. 

The law requires New Jersey employers with more than 10 workers to disclose a compensation range and benefits in job postings. It also requires employers to disclose promotional opportunities to current employees. 

New York enacted similar legislation in 2022, although some businesses found loopholes by posting dramatic salary ranges that did not indicate how much the jobs paid.  

Bill sponsor Sen. Paul Moriarty (D-Gloucester) celebrated the signing as one that will bring a “new level of transparency and fairness into the job posting and hiring process.” 

“Why make people jump through hoops, only to find out at the end that they’re not going to be paid what they think they deserve? This law will prove beneficial to job seekers as well as those looking to hire,” Moriarty said in a statement.

The law carries a $300 fine for first-time offenders and $600 for subsequent offenses. 

The bill passed in the Senate with full support in late June and passed the Assembly 56-16 in September. 

Assemblywoman Annette Quijano (D-Union), another sponsor, said the law will “help level the playing field by protecting employees from favoritism and assisting them in understanding their potential for growth from the start.” 

The law will go into effect in mid-2025.  

There’s been an uptick in states adopting pay transparency laws since California was the first in 2018. Nevada, Washington, New York, Connecticut, Maryland, Rhode Island, and Utah have passed similar legislation.

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