business news in context, analysis with attitude

Axios reports that the city of New York has delayed the implementation of a new salary transparency law that will require employers "to post the maximum and minimum salary for a role — so you can know how much a job pays before you take that interview."  originally scheduled to go into effect this month, it now will take effect on November 1.

The reason for the delay:  "Business groups had argued that this law couldn't come at a worse time, when the competition for workers is hot and they want maximum flexibility on pay. Plus, they said it would put small businesses that pay less at a disadvantage.

"Advocates for equal pay argued that employers still have a lot of flexibility to post high maximums and low minimums."

However, Axios notes that laws like this one are trending:  "Salary transparency is believed to be a way to diminish unfair gender and racial pay disparities, and more states and cities are adopting the practice.  Colorado's law went into effect last year. Washington State just passed its own legislation. About a dozen more states are mulling laws."

KC's View:

I understand why businesses might find this to be annoying and an example of government overreach.  But I try to put myself in the position of people who are looking for jobs and worry about being exploited by potential employers who want to pay as little as possible.

The problem isn't employers trying to be frugal.  Rather, it is employers who may see workers as a cost, not an investment.  Salary transparency may be less threatening if the person doing the hiring is thinking about ROI … and makes offers accordingly.