Preparing for The Expansion of Pay Transparency Laws Across the U.S. in 2025
Last Updated on February 4, 2025
The push for greater pay transparency in the United States is gaining momentum. Over the past few years, many states and cities have implemented pay transparency laws, requiring employers to disclose salary ranges in job postings and provide pay information upon request to applicants and sometimes, employees.
The movement toward pay transparency has accelerated in 2025, with five additional states set to introduce pay transparency laws. Here’s a closer look at what pay transparency laws mean for employers and employees, and what to expect as more states adopt these regulations.
The Rise of Pay Transparency Laws
Pay transparency laws are part of a broader national effort to tackle pay inequities, particularly the gender and racial wage gap. These laws are designed to level the playing field by giving employees more visibility into how their compensation compares to others in similar roles. In turn, employers are being held to higher standards of accountability, encouraging fairer pay practices.
Currently, several states and cities have already enacted pay transparency laws, with regulations varying in terms of scope, enforcement and penalties. However, 2025 marks a turning point, as five more states will join the growing list of jurisdictions requiring employers to disclose salary ranges and compensation information in certain situations.
Key Provisions of Pay Transparency Laws
While each state’s specific regulations may differ, the general framework of pay transparency laws includes several key provisions that employers need to be aware of:
1. Salary Range Disclosures: Many pay transparency laws require employers to include salary ranges in job advertisements, whether the job is posted internally or externally. This helps candidates make more informed decisions before applying, reducing the potential for wage discrimination based on negotiation skills or hidden biases.
2. Providing Pay Information on Request: In many jurisdictions, employees have the right to request information about the pay scale for their position or similar roles within the company. This transparency helps employees assess whether they are being fairly compensated and ensures that companies are not perpetuating pay disparities.
3. Ban on Asking About Salary History: Several states and cities have enacted laws that prohibit employers from asking candidates about their salary history. This measure is aimed at preventing the perpetuation of pay inequities from one job to the next, as past salaries may not reflect an individual’s true value for a given role.
4. Internal Pay Transparency: Some jurisdictions require companies to disclose salary information for specific job classifications within their organization, ensuring that compensation is equitable for employees in similar roles.
What to Expect in 2025: Five More States Adopting Pay Transparency Laws
In 2025, five additional states will/have adopt(ed) pay transparency laws, extending this critical push for pay equity to more regions across the country. In addition to the five additional states’ pay transparency laws, several states that already have pay transparency laws will create revisions. These laws establish a profound impact on businesses and workers alike, as they enhance access to salary information and promote fairer compensation practices. Although the specifics of these laws vary by state, employers can see an increased focus on salary transparency in job postings, as well as additional requirements for providing pay data to candidates and employees.
Pay Transparency Laws by State as of Jan. 1, 2025
State | Salary Range Disclosures in Job Postings | Salary History Ban | Other Key Provisions |
California | Yes, for employers with 15+ employees | Yes | Employers must disclose a position’s pay scale in all job postings. Employers must also provide pay scale to current employees upon request. |
Colorado | Yes, for all employers | Yes | Employers must disclose a good-faith estimate of a position’s pay scale for job postings. Employers must provide internal notice of all job opportunities, as well as compensation and benefits. |
Connecticut | Yes, for all employers | Yes | Employers must provide salary ranges upon request. |
Hawaii | Yes, for employers with 50+ employees | Yes | Employers must provide a pay range or an hourly rate in job postings (does not cover public employers of pay is determined by collective bargaining). |
Illinois | Yes, for employers with 15+ employees | Yes | Employers must include a pay scale and benefits description in job postings. Employers also must notify current employees of promotion opportunities within 14 calendar days of an external posting. |
Maryland | Yes, for all employers | Yes | Employers must include wage ranges upon request. Employers must also provide disclosure of a job’s benefits and any other compensation. |
Massachusetts | Yes, for employers with 1+ employees | Yes | Employers must provide pay scale upon request. |
Minnesota | Yes, for employers with 30+ employees | Yes | Employers must include a starting salary range or a fixed pay rate in job postings. Employers must also provide a description of all other compensation and benefits. |
Nevada | Yes, for all employers | Yes | Employers must provide the pay range or rate for a position to applicants who have completed an interview and to employees applying for promotion or transfer after they complete an interview and have been offered the job and have requested the information. |
New Jersey | Yes, for employers with 4+ employees | Yes | Employers must disclose salary range on job postings or upon request. |
New York | Yes, for employers with 4+ employees | Yes | Employers must disclose salary ranges for all job postings that can or will be performed at least in part in the state. Employers must also disclose if the position is commission-based. |
Oregon | Yes, for all employers | Yes | Requires employers to provide pay scale on request. |
Rhode Island | Yes, for all employers | Yes | Employers must disclose salary ranges for all positions upon request. |
Washington | Yes, employers with 15+ employees | Yes | Employers must provide pay range info in all job postings and before an internal transfer. Employers must also include a description of benefits and/or other compensation that will be offered. |
State Expected Implementation Provisions for 2025
State | Expected Provisions |
Michigan | Expected to require salary range disclosure in job postings. |
Pennsylvania | Expected to ban salary history inquiries and require pay range disclosures. |
Florida | Expected to adopt a salary history ban and salary range disclosure requirements. |
Virginia | Expected to expand existing pay transparency laws and include salary ranges in job ads |
Massachusetts | Effective July 31, 2025: Employers with 25 or more employees in Massachusetts will have to include a pay range in job postings, and provide a pay range to any employees upon request for their current roles and with applicants upon request for a position to which they are applying. |
New Jersey | Effective June 1, 2025: Employers that have “10 or more employees over 20 calendar weeks” will have to provide compensation information in job postings for internal and external positions, including the hourly wage or a salary range and a description of benefits and other compensation programs. |
Vermont | Effective July 1, 2025: employers with five or more employees to include compensation ranges in internal and external job postings; doesn’t require employers to include a salary range for commission-based roles, but postings need to disclose that a job is commission-based. |
Looking Ahead: The Future of Pay Transparency
The growing trend of pay transparency is likely to continue expanding in the coming years, with more states expected to introduce similar laws. For employers, the time to prepare is now. Adapting to pay transparency laws not only ensures compliance but also offers an opportunity to build a stronger, more equitable workplace culture. By prioritizing fair pay and transparency, companies can improve employee satisfaction, attract top talent and position themselves as leaders in the fight for pay equity.
As pay transparency laws continue to evolve across the United States, businesses must adapt to the changing landscape. MyHRConcierge can help ease pains when it comes to compliance, and can help assure that your organization stays up-to-date on changing laws and regulations. For more information, contact MyHRConcierge at ccooley@myhrconcierge.com, 855-538-6947 ext. 108, or, schedule a free consultation below: