On December 15, 2021, the New York City Council passed Int. 1208-2018 (“Int. 1208-2018” or the “Bill”), a pay transparency bill with significant implications for employers in New York City. Mayor Eric Adams subsequently took no action with respect to the Bill, and it became law on January 15, 2022. Int. 1208-2018 will become effective on May 15, 2022.
The Bill amends the New York City Human Rights Law (“NYCHRL”) to make it an unlawful employment practice for covered employers to advertise a “job, promotion, or transfer opportunity” without stating the minimum and maximum salary for the position in the advertisement. The stated salary range may extend “from the lowest to the highest salary the employer in good faith believes at the time of the posting it would pay for the advertised job, promotion or transfer opportunity.” The Bill does not distinguish between internal and external advertisements, meaning that employers must comply regardless of whether the posting is publicly available.
An employer is covered under Int. 1208-2018 if it has had four or more persons “in its employ” in the previous year. For purposes of determining coverage, employers must count full-time, part-time, permanent and temporary employees, interns, and independent contractors. However, the Bill excludes job postings for temporary employment at temporary help firms from coverage. Penalties for violating the NYCHRL include compensatory damages, punitive damages, attorneys’ fees, and civil fines.
In passing Int. 1208-2018, New York City joins a growing number of jurisdictions that mandate pay transparency in job postings, including Colorado, Connecticut, Nevada, and Rhode Island. Other state legislatures, including those in Massachusetts and South Carolina, are considering similar provisions.
The New York City Commission on Human Rights is expected to release more detailed guidance regarding compliance with the Bill prior to its effective date. In the meantime, covered New York City employers should begin to prepare for compliance by identifying relevant salary ranges for upcoming postings and identifying external and internal posting forms that must be updated.
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About The Author
Lindsay C. Stone is an Associate with Sheppard, Mullin, Richter & Hampton LLP in the firm’s New York Office. Ms. Stone is experienced in representing employers in a wide array of labor and employment matters in judicial, arbitral and agency forums. Lindsay’s litigation practice includes disputes related to discrimination and harassment, wrongful termination, pay equity, restrictive covenant and non-competition agreements, misappropriation of trade secrets, wage/hour claims and class and collective actions. Lindsay also regularly counsels clients on matters including internal investigations, employee discipline and termination, policy creation and administration, and leave of absence issues. She additionally conducts trainings on behalf of clients regarding sexual harassment, managerial issues, and workplace behavior. Lindsay is experienced in understanding and meeting the complex needs of clients in a variety of industries, including financial services, media and entertainment, healthcare, and sports.
Lindsay is a co-author to the New York Employment ALERT Newsletter and several other articles and is a contributing author to the Employer’s Guide to COVID-19 and Emerging Workplace Issues.