New pay transparency laws: Pay Now or Pay Later.
On November 1, 2023, in British Columbia and September 17th, 2023, New York enacted Pay Transparency Laws. These laws prohibit employers from asking job applicants how much they made in their previous jobs and require employers to publish a pay range in job postings. Having a pay range in a job advertisement is as essential as having pictures in online dating!
These laws are being discussed or proposed in almost every jurisdiction and are the right thing to do, so employers should just do it! Putting a pay range in every job helps both job seekers and hiring managers as it provides clarity in the hiring process. Some say it is a significant step towards addressing systemic discrimination in the workplace and ensuring that all workers are paid fairly. That is BS what it does, it allows people who are being underpaid to quit and to find a better employer!
Pay transparency laws require employers to:
- Not to ask job applicants for their pay history information.
- Publish the expected salary or wage range for any publicly advertised job opportunity.
- Be consistent with the pay for men and women
Employers can still ask candidates if they are willing to quit their current job for the offered pay range, and if not, what pay range would they accept? Employers can still cheap out an offer a lower-skilled person a different job at a lower pay range, or a higher pay rate to land a star employee.
The only real changes are Employers can’t waste people’s time by posting job ads that say “depends on experience,” or “up to” or “starting at” and we need to ask how much money will make a candidate quit their job or get out of bed to come work!
Please don’t hesitate to chat with me about new pay transparency laws, but always retain the services of a good employment lawyer when making hiring policy decisions!