Beginning July 1, 2025, Vermont employers will be required to comply with a new pay transparency law that mandates salary disclosure in job postings.
Signed into law on June 4, 2025, H.704 makes Vermont the latest state to join a growing movement of pay transparency legislation aimed at closing wage gaps and advancing pay equity.
What Employers Need to Know
The law applies to employers with five or more employees and covers both internal and external job postings.
Under the new requirements, Vermont employers must:
- Disclose the salary or hourly wage range for a position in all job postings.
- Include this information for roles physically located in Vermont, as well as remote roles that primarily support Vermont-based offices or worksites.
- Ensure salary ranges are “good faith” estimates of what the employer would pay for the position.
- Clearly disclose when a position is commission-based and does not have a salary range.
- For tipped roles, disclose that the position receives tips and provide the base pay or salary range.
The law also applies to third-party job postings made on behalf of the employer.
Currently, there are no penalties or fines outlined for non-compliance. The law does not provide individuals with the right to go to court to enforce the Act or seek remedies for violations of the law. The Vermont Attorney General is the enforcement agency, and the law protects individuals from retaliation if they report instances of non-compliance.
The Challenge: Accurate, Equitable Salary Ranges
Vermont’s law presents a common challenge: How can employers 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 Jersey, 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.
With July 1 fast approaching, now is the time to review your job postings, evaluate your compensation structures, and prepare to meet Vermont’s new requirements.
Learn how our pay transparency solutions can simplify compliance and set your organization up for long-term pay equity success.