Pay Transparency Bill Moving Through NJ Legislature Could Have Major Impact on Employers

A bill before the Senate Labor Committee could have New Jersey joining a wave of states passing pay transparency laws, though employment lawyers caution that it could result in future litigation over pay inequity and other biases by existing employees.

This week, Assembly bill No. 3937 was before the Assembly Consumer Affairs Committee with amendments, which would require employers to disclose the hourly range, salary, or a range of compensation for each job they post. Amendments to the bill would also require employers to make reasonable efforts to notify all current employees of the opportunities for promotion. The committee heard testimony Thursday on the bill but did not take a vote on its passage.

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