Pay Transparency Laws

A dozen-plus US states and the EU now require salary ranges in postings or pay reporting, a rapid shift from pay secrecy norms.

Overview

Colorado's 2021 posting-range requirement started the US wave, followed by New York City, California, Washington and others, while the EU's 2023 directive mandates gender pay-gap reporting and justification duties from 2026. Measured effects include compressed pay bands, larger raises at the bottom, and reduced gender gaps in studied cases, plus gaming behavior, absurdly wide ranges and job titles laundered. The negotiating consequence is direct: candidates now anchor on posted bands, and employers lose the information advantage that secrecy once provided.