Beginning June 1, 2025, New Jersey employers will be required to adhere to job pay new pay transparency law. Signed into law in 2024, the legislation requires covered employers to disclose salary ranges and benefits in job postings — a growing trend among states seeking to close persistent pay gaps.
What Employers Need to Know
The law applies to employers with “10 or more employees over 20 calendar weeks and does business, employs persons, or takes applications for employment within New Jersey.”
There is no language requiring employees to be located within New Jersey to be counted. Thus, even if you do not have employees located in New Jersey, you will likely still be required to provide salary ranges on job postings if you:
- do any business in New Jersey, or
- accept any employment applications in New Jersey.
Employers are required to disclose the range of the hourly wage or salary for the position along with a general description of benefits and other compensation programs for which an employee would be eligible on all job postings and transfer opportunities. The law also applies to job postings through a third party.
The law will also require employers to make “reasonable efforts” to announce, post, or otherwise make known opportunities for promotion to all current employees in affected departments prior to making a promotion decision.
A promotion decision is defined as “a change in job title and an increase in compensation.” The bill clarifies that an employee who is rewarded a promotion on the basis of years of experience or performance would not be subject to the bill’s notification requirements.
Employers that fail to comply with the pay transparency law would be subject to a civil penalty not to exceed $300 for the first violation and $600 for each subsequent violation.
The Challenge: Accurate, Equitable Salary Ranges
This new requirement poses a common challenge for employers: how do you determine and disclose salary ranges that are both market-competitive and aligned with internal equity?
That’s where Trusaic comes in.
Trusaic’s PayParity® and Salary Range Finder® solutions work in tandem to help employers comply with pay transparency requirements while advancing meaningful pay equity.
- PayParity identifies pay inequities across gender, race/ethnicity, age, and more using intersectional, regression-based analyses. It also supports remediation planning, ensuring your compensation decisions are both unbiased and legally-defensible.
- Salary Range Finder empowers HR and compensation teams to create data-driven salary bands that are competitive, equitable, and transparent. Real-time guidance ensures new hire offers are aligned with both market rates and your internal pay structures — helping you attract talent while maintaining trust within your workforce.
With real-time pay guidance, managers, recruiters, and HR teams can make unbiased, competitive pay decisions faster — reducing time-to-hire, improving offer acceptance rates, and ensuring salary offers are aligned with your pay equity goals.
Why It Matters
Pay transparency laws are quickly becoming the norm. New Jersey joins a growing list of states — including California, Colorado, Hawaii, Illinois, Maryland, Minnesota, New York, Washington, and Washington D.C. — that require salary ranges on job postings.
By leveraging solutions like PayParity and Salary Range Finder, employers can stay ahead of regulatory change, build trust with candidates and employees, and foster a culture of equity and transparency.
June 1 is just around the corner. Now is the time to assess your job postings, evaluate your compensation structures, and ensure you’re ready to meet New Jersey’s new requirements.
Learn how our pay transparency solutions can simplify compliance and set your organization up for long-term pay equity success.