THE OTHER 49

A new law is on the books for New York state

We’ll see if the state’s new pay transparency law actually decreases discrimination.

By LAYA ALBERT
(Holden Kilbane / Daily Trojan)

When I turned 14, I was excited about the prospect of working. On my birthday, I applied for various jobs in my Florida hometown, such as a barista at a vegan cafe, a hostess at a motel breakfast buffet and an employee at an aquatic center. I did manage to get one of those jobs, but the toughest part of the interview was when they asked me about my desired pay range. 

As a high school freshman with zero work experience, I understood that I should be fine with minimum wage. I didn’t want to suggest a salary that was too high and risk losing the opportunity, but I also didn’t want to always mention the lowest possible salary when there was a chance of being paid more.

Since I moved to Los Angeles last fall and started applying to internships, I’ve noticed that job postings on LinkedIn and other recruiting websites usually include a salary range — something known as pay transparency.

Only eight states have laws that mandate salary transparency. Additionally, there are a few cities, including Cincinnati and Toledo in Ohio and Jersey City in New Jersey, that require salary transparency despite their state’s lack of a mandate. 

Colorado was the first state to pass a salary transparency law in 2019. Starting Sept. 17, employers in New York state will also be required to disclose anticipated salaries on job postings.

The new law applies to all companies with more than four employees, mandating that New York employers will now be required to disclose salaries on internal and external job postings. New York is home to the largest metropolitan area in the United States, and the law’s impact on employers and workers could be significant.

New York’s recently-enacted legislation aims to eliminate pay disparities. Providing a salary range for a job position could help employers minimize discrimination against job applicants based on their gender, ethnicity or sexual orientation. Members of underrepresented groups may not feel confident advocating for themselves in salary negotiations, so the new law helps ensure that all job candidates are treated fairly and equally. 

However, skilled candidates with strong negotiation skills may disagree — if a candidate believes their experience is worth more than the posted salary range, they may be less likely to accept an offer. For employers, it can be more difficult to recruit talent if there is no room to offer higher pay without disclosing it to current employees who may take issue with pay differences.

There are pros and cons to the Empire State’s new law, but I believe it depends on the job. As a woman in college applying for internships and entry-level jobs, I would prefer salary transparency in the application process. I do not feel experienced enough in the workforce to properly negotiate my salary, and as a woman, the fear that men working in the same role might be making more would always be in the back of my mind.

Jobs that do not require a college degree should require pay transparency, as there is less competition which, unfortunately, makes it easier for employers to discriminate against workers without a transparency law in place. However, not stating a salary range advantages experienced employers and candidates. 

California’s Pay Transparency Act requires employers with fifteen or more employees to state a pay range on internal, external and third-party job postings. USC students should be aware of this law and as well as the pay range listed on their job applications. They should understand that every state has a different set of pay transparency laws which should determine how they approach answering this question in interviews.

With more and more states hopping on the recent trend of implementing these pay transparency laws, the next few years will be instrumental in determining whether they benefit statewide populations. Time will tell if employers follow the letter of the law or find loopholes to continue discriminatory practices. States like New York will act as a test run to see if these laws actually help to prevent discrimination, or if they will simply take away negotiation powers from employers and applicants. 

Laya Albert is a sophomore writing about the significant issues in states beyond California. Her column, “The Other 49,” runs every other Monday.

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