Under a law that took effect on January 1, California employers with 15 or more employees must post salary ranges on postings for job openings. The Labor Commissioner recently provided FAQs on how to comply with this new law.
The law requires employers to post pay scales on all job postings even if the employer engages a third party to promote or publish the job posting (such as Indeed, LinkedIn or a professional firm). The FAQs make it clear that the pay range must be included in the posting – A QR code or hyperlink to the wage information is NOT sufficient.
Additional clarification was also given to the meaning of “pay scale,” which the law defines as the salary or hourly wage range the employer reasonably expects to pay for the position. For fixed-pay positions, the employer should post the fixed wage or salary. If applicable, the pay scale must also include piece rate and/or commission wages; however, an employer need not post additional compensation (e.g. bonuses, tips, or other benefits).
All employers may want to consult with HR professionals or labor lawyers to ensure they are in compliance with this new pay transparency law.