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New California law will require most employers to list salary range on job postings

FILE -- In this Thursday, June 21, 2018 photo, a job applicant looks at job listings for the Riverside Hotel at a job fair hosted by Job News South Florida, in Sunrise, Fla. The Labor Department said Friday, July 6, that the unemployment rate rose to 4.0 percent from 3.8 percent as more people began looking for work and not all of them found it. (AP Photo/Lynne Sladky)
Lynne Sladky
FILE -- In this Thursday, June 21, 2018 photo, a job applicant looks at job listings for the Riverside Hotel at a job fair hosted by Job News South Florida, in Sunrise, Fla. The Labor Department said Friday, July 6, that the unemployment rate rose to 4.0 percent from 3.8 percent as more people began looking for work and not all of them found it. (AP Photo/Lynne Sladky)
SOURCE: Lynne Sladky
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New California law will require most employers to list salary range on job postings
On Tuesday, Governor Gavin Newsom signed a bill that would require most employers in California to provide salary ranges for open positions to applicants and workers. The bill would affect all employers in the state with at least 15 workers to include the hourly rate or salary range on job listings, according to CNBC. Under new legislation, California-based companies hiring outside of the state won’t be required to include salary ranges on those job listings. But companies based out-of-state and hiring for jobs to be done in California will be required to disclose pay ranges per the law.A majority, 66%, of job-seekers expect to see salary in the job description, according to a June Gartner survey of more than 3,600 people.Other salary transparency laws exist elsewhere in the U.S. — including Washington, Nevada and Connecticut — and have gained momentum in recent years.Colorado’s Equal Pay for Equal Work act went into effect in January 2021 and requires employers to disclose the salary range on all job ads. Early data suggests the change led more people to find work in the state, despite a drop in employer listings.CNBC contributed to this report.

On Tuesday, Governor Gavin Newsom signed a bill that would require most employers in California to provide salary ranges for open positions to applicants and workers.

The bill would affect all employers in the state with at least 15 workers to include the hourly rate or salary range on job listings, according to CNBC.

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Under new legislation, California-based companies hiring outside of the state won’t be required to include salary ranges on those job listings. But companies based out-of-state and hiring for jobs to be done in California will be required to disclose pay ranges per the law.

A majority, 66%, of job-seekers expect to see salary in the job description, according to a June Gartner survey of more than 3,600 people.

Other salary transparency laws exist elsewhere in the U.S. — including Washington, Nevada and Connecticut — and have gained momentum in recent years.

Colorado’s Equal Pay for Equal Work act went into effect in January 2021 and requires employers to disclose the salary range on all job ads. Early data suggests the change led more people to find work in the state, despite a drop in employer listings.

CNBC contributed to this report.