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NEW JERSEY PAY TRANSPARENCY LAW EFFECTIVE JUNE 1, 2025

by | Mar 3, 2025 | Business Law, Firm News

Effective June 1, 2025, New Jersey employers with 10 or more employees will be required to disclose compensation and benefit information on job postings.

Pay Transparency Requirements for New Jersey Job Postings

The Pay Transparency Law requires covered New Jersey Employers to disclose the hourly wage or salary or a range of the hourly wage or salary, and a general description of the benefits and other compensation available during the first year of employment.  The law also requires employers to make reasonable efforts to post internally or make otherwise known to existing employees opportunities within their department that are advertised internally or externally.  The foregoing does not apply to internal promotions based upon performance or years of service.

Covered New Jersey Employers

New Jersey employers with 10 or more employees over 20 calendar weeks are covered under the new law.  Unfortunately, the law does not specify if the 10 employee minimum includes employees that are not located in New Jersey.  For example, a small employer with 9 employees located in New Jersey may fall under this law if it has a 10th employee who works from home who lives in Pennsylvania.

Enforcement of New Jersey Pay Transparency Law

The Commissioner of Labor and Workforce Development has responsibility to enforce compliance with the New Jersey Pay Transparency Law.  There is no private right of action.  A first time offense will result in a civil fine in the amount of $300 and all future violations will be fined at $600 for each offense thereafter.

Employers Next Steps

Employers should meet internally with human resources or whoever is in charge of hiring and familiarize staff with these new legal requirements.  Make sure if you work with recruiters that they are also familiar with the new requirements.   If you have any questions regarding compliance with the New Jersey Pay Transparency Law, or any other aspect of your business, please feel free to contact any of our business attorneys at Anderson Leavitt.

This entry is presented for informational purposes only and is not intended to constitute legal advice.