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New Jersey Governor Phil Murphy has signed a new law requiring businesses with more than ten employees to disclose a compensation range and benefits for every job position advertised. The law, which will take effect in mid-2025, also mandates employers to disclose promotional opportunities to current employees. The move is aimed at bringing a "new level of transparency and fairness into the job posting and hiring process," according to the bill's sponsor, Sen. Paul Moriarty.
The law carries a $300 fine for first-time offenders and $600 for subsequent offenses. New Jersey joins eight other states, including New York and Connecticut, that have similar laws. However, some businesses have found loopholes by posting dramatic salary ranges that do not indicate how much the jobs paid.
New Jersey Monitor reports that advocates believe the measure will help level the playing field for job seekers and can help close the wage gaps faced by women and minorities.
The law is expected to impact the hiring process significantly, and employers are advised to review and update internal systems to ensure compliance.