What is the Law for Pay Transparency in New Jersey?
New Jersey has some of the most comprehensive, well-developed pay transparency requirements in the entire country. It is crucial that both employers and employees know the law. In this article, our New Jersey employment attorney provides a guide to the law for pay transparency in New Jersey.
What is Pay Transparency and Why Does it Matter?
Broadly explained, pay transparency means giving workers access to clear, accurate information about wages for specific jobs or classifications. The goal is to reduce pay inequity based on protected characteristics, such as gender and race. Pay transparency helps to achieve this objective by ensuring that employees know the compensation range before and/or during hiring.
New Jersey has a Collection of Pay Transparency Laws
New Jersey has multiple pay transparency laws. With that being said, the recently passed The New Jersey Pay and Benefit Transparency Act is the key regulation. Among other things, it mandates that employers reveal salary ranges and benefits summaries when advertising jobs or internal transfer opportunities. The law integrates with existing laws like the Equal Pay Act and the Salary History Ban. It took effect on June 1st, 2025. Here are some key points to be aware of:
- Coverage: New Jersey’s Pay and Benefit Transparency Act requires most employers doing business in the state to include pay and benefits information in job and transfer postings. Coverage generally includes employers with 10 or more employees for at least 20 calendar weeks who employ in New Jersey, do business in New Jersey, or accept applications for roles to be performed in the state.
- What Needs to Be Posted: Under New Jersey law, covered postings must state either the specific hourly wage or salary or a good-faith pay range. They must also include a general description of benefits or other compensation, such as health coverage, retirement benefits, paid time off, bonuses, commissions, or other forms of remuneration. If the role is eligible for multiple pay structures, the posting should identify the applicable structure or range.
- Promotions: Employers must make reasonable efforts to inform current employees about promotional opportunities in their departments before filling those positions. Reasonable efforts can include department-wide emails, internal job boards, or other written notices.
- Penalties for Violations: The New Jersey Department of Labor enforces the statute. There is no private right of action for applicants or employees. Penalties are administrative: The fine is up to $300 for a first violation and up to $600 for each subsequent violation. You cannot sue for a violation of the pay transparency law. However, you could sue for pay discrimination.
Call Our New Jersey Employment Lawyer for Pay Transparency Claims Today
At Poulos LoPiccolo PC, our New Jersey employment lawyer has the knowledge, skills, and experience to take on pay transparency cases. If you have any questions about pay transparency requirements, please do not hesitate to contact us today for a confidential case review. With an office in Monmouth County, we serve communities throughout all of New Jersey.
Source:
nj.gov/labor/myworkrights/wages/pay-transparency
