Navigating 2026: Pay Transparency Laws and Employer Obligations

Takeaways

• Pay transparency laws continue to expand nationwide, with numerous states and local jurisdictions requiring pay range disclosures.
• Multi-state employers face a complex landscape of pay transparency requirements, which vary by jurisdiction.
• Pay data reporting obligations are increasing, as several states require employers to submit detailed pay and demographic data to state agencies.

Related link

• 2026 Employee Data Reporting Requirements: Are Employers Ready?

Article

Employers across the United States are contending with a growing set of state and local laws designed to advance pay equity through greater transparency. Although the federal Equal Pay Act and Title VII of the Civil Rights Act provide the foundation for pay equity, many states have taken the lead in adopting broader requirements.

In addition to passing their own laws prohibiting pay discrimination, certain states have imposed pay transparency requirements that include mandatory pay disclosures in job postings (or other steps in the interview process), proactive data reporting, and restrictions on using prior salary history. This expansion has created compliance challenges, especially for multi-state employers.

As states adopt pay transparency and reporting mandates, with some set to take effect through 2027, employers should stay aware of evolving obligations.

Common Threads, Notable Distinctions

Despite significant differences among jurisdictions, several consistent trends have emerged.

Most pay transparency laws require employers to disclose wage or salary ranges in job postings or at an applicant’s request. Some requirements also extend to internal opportunities such as promotions or transfers, reflecting an emphasis on transparency throughout the employment lifecycle. A growing number of states also explicitly address remote positions in their pay transparency requirements.

Several jurisdictions, including California, Illinois, and Massachusetts, complement these disclosure mandates with pay data reporting requirements. Such programs typically require larger employers to submit detailed pay and demographic information about their employees, allowing agencies to identify potential wage disparities. These developments signal a growing reliance on data-driven government enforcement to promote pay equity.

State pay transparency laws, however, may differ in both scope and enforcement. Some requirements apply only to employers that meet certain employee-count thresholds, while others extend broadly to nearly all employers. Penalties range from modest fines to substantial penalties and, in some cases, private class action lawsuits.

Taken together, these developments reveal a trend of states converging on shared principles of pay transparency while applying different models for implementation and enforcement.

State Pay Transparency Requirements

A growing number of states mandate that employers include pay ranges, benefits details, and other compensation information in job postings, often expanding these requirements to cover both job applicants and current employees. Obligations for employers include, generally:

California

• Who: Employers with 15+ employees (posting requirement)
• What: Pay scale
• When: In job postings; to applicants and employees upon request
• Which jobs: Positions in California, including certain remote roles
• Note: SB 642 effective Jan. 1, 2026 (clarifies “pay scale”; extends recovery period to six years)

Colorado

• Who: Employers with at least one employee in Colorado
• What: Pay range, other compensation, and benefits; posting duration
• When: In job postings
• Which jobs: Positions in Colorado, including remote roles
• Note: Separate notice rules apply to promotions, internal opportunities, and post-selection announcements (limited exceptions)

Connecticut

• Who: All employers
• What: Wage range
• When: Upon request or before offer (applicants); upon hire, role change, or request (employees)
• Which jobs: The position sought or held

Delaware

• Who: Employers with 26+ employees
• What: Pay range and general description of benefits and other compensation
• When: In job postings; otherwise before offer or compensation discussion; upon request
• Which jobs: Positions in Delaware, including certain remote roles
• Note: Effective Sept. 26, 2027

Hawaii

• Who: Employers with 50+ employees
• What: Hourly rate or salary range reflecting expected compensation
• When: In job postings
• Which jobs: Positions in Hawaii

Illinois

• Who: Employers with 15+ employees
• What: Pay scale and benefits
• When: In job postings
• Which jobs: Positions performed in Illinois or reporting to Illinois
• Note: Employers must notify employees of promotional opportunities within 14 days of an external posting (limited exceptions)

Maryland

• Who: Employers with covered job postings
• What: Wage range and description of benefits and other compensation
• When: In public and internal job postings; before pay discussions or upon request
• Which jobs: Positions in Maryland, including certain remote roles

Massachusetts

• Who: Employers with 25+ employees
• What: Pay range
• When: In job postings; upon applicant request
• Which jobs: Positions in Massachusetts, including certain remote roles

Minnesota

• Who: Employers with 30+ employees at one or more Minnesota sites
• What: Starting salary range or fixed pay rate; general benefits and other compensation
• When: In job postings
• Which jobs: Positions in Minnesota, including certain remote roles

Nevada

• Who: All employers
• What: Wage or salary range
• When: After interview (applicants); after interview or offer (promotion/transfer); upon request
• Which jobs: Internal and external roles in the hiring process

New Jersey

• Who: Employers with 10+ employees over 20 calendar weeks
• What: Pay range, benefits, and other compensation
• When: In job postings
• Which jobs: Positions in New Jersey, including certain remote roles
• Note: Local jurisdictions also have pay transparency requirements

New York

• Who: Employers with 4+ employees
• What: Compensation range; job description if one exists
• When: In job postings
• Which jobs: Positions performed in or reporting to New York State
• Note: Local jurisdictions also have pay transparency requirements

Ohio

• Note: While there is no state-level pay transparency requirement, Cincinnati, Cleveland, Columbus, and Toledo have local requirements

Rhode Island

• Who: All employers
• What: Wage range
• When: Upon request and before compensation discussions; at hire; upon role change
• Which jobs: Positions in Rhode Island, including certain remote roles
• Note: Written pay notice required for new hires starting Jan. 1, 2026

Vermont

• Who: Employers with 5+ employees
• What: Compensation or compensation range
• When: In job advertisements
• Which jobs: Positions in Vermont, including certain remote roles

Washington

• Who: Employers with 15+ employees
• What: Salary range or fixed wage; other compensation; specific benefits disclosures
• When: In job postings
• Which jobs: Positions in Washington, including certain remote roles
• Note: Five-business-day cure period for certain first violations (through July 27, 2027)

Washington, D.C.

• Who: Private employers with at least one employee
• What: Minimum and maximum projected pay; healthcare benefits
• When: Pay range in listings; healthcare benefits before first interview
• Which jobs: Positions in Washington, D.C., including certain remote roles

Looking Ahead

By 2027, at least a dozen states, multiple cities, and certain counties will require public or applicant-specific disclosure of pay ranges, with some requiring pay data reports. Employers should evaluate their hiring practices for compliance with current and future pay transparency obligations.

Jackson Lewis attorneys continue to monitor pay equity developments. For assistance with your organization’s pay transparency compliance strategy, contact a Jackson Lewis attorney.