California passes law requiring companies to disclose salary ranges when recruiting

California passed a law requiring companies to publish salary ranges in job postings. The law also requires California-based companies with more than 100 employees to publish median pay differentials by gender and race. California Governor Gavin Newsom has until Sept. 30 to sign or veto the bill, and he has yet to take a position. If he signs the law into effect, several large US companies will be affected, including Meta/Facebook, Alphabet/Google and Disney. Colorado, New York City and Washington state have all passed similar laws, with Colorado’s law already in effect, New York City’s law set to take effect on November 1, and the New York state legislature’s law awaiting Governor Kathy Hochul’s signature. If the governors of California and New York both signed into law, it would mean a quarter of the U.S. population lives in states that require pay ranges to be disclosed. The business community opposed the law.

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