By Stephanie Horn
BLOG OVERVIEW: New pay transparency laws are reshaping hiring practices across the U.S., with California, Massachusetts, Columbus (Ohio), and Delaware each enacting requirements that mandate employers disclose salary ranges in job postings and to current employees. Effective dates range from late 2025 through 2027, making it critical for multi-jurisdiction employers to update job posting templates, train HR teams, and review internal compensation structures to stay compliant with these expanding requirements.
Pay transparency continues to play a critical role in advancing fair compensation, supporting informed career decisions, and strengthening employer accountability. By promoting visibility into pay ranges and benefits, these laws help job seekers negotiate more effectively while encouraging organizations to proactively evaluate compensation practices, eliminate disparities, and remain competitive in attracting and retaining talent.
As part of the ongoing national trend toward greater pay transparency, several notable state and local requirements have recently taken effect or will go into effect in 2026 and 2027. These include the following:
California
On October 8, 2025, California Governor Gavin Newsom signed Senate Bill 642 (SB 642). This bill revised the definition of “pay scale” to “a good faith estimate of the salary or hourly wage range that the employer reasonably expects to pay for the position upon hire.”
SB 642 requires employers to provide pay scale information to applicants and current employees. It also requires employers with 15 or more employees to disclose pay scale information on job postings. SB 642 is effective as of January 1, 2026.
Columbus, Ohio
On November 4, 2025, Columbus Mayor Andrew Ginther signed Columbus Ordinance 2898-2025, which amended Chapter 2335 of the Columbus City Codes. This amendment requires employers to include reasonable salary ranges in job postings or when otherwise advertising job openings, aligning Columbus with similar pay equity requirements recently enacted in Cleveland. The amendment took effect on December 3, 2025, but enforcement is delayed until January 1, 2027.
Delaware
Effective on September 26, 2027, Delaware’s Pay Transparency Law will require employers with more than 25 employees to include salary or wage range information and a general description of benefits in all postings for job opportunities. This law also ensures that applicants have access to that information prior to any offer or discussion of compensation if a job opening was not formally posted.
Additionally, employers will be required to maintain records relating to job descriptions and wage rates for current employees and for 3 years after the departure of an employee. The Department of Labor may bring administrative action to enforce the pay transparency provision.
For more information, read DCI’s blog on Delaware's Pay Transparency Law.
Massachusetts
In effect as of October 29, 2025, Massachusetts’ Wage Transparency Act requires employers with 25 or more employees (“covered employers”) to establish and disclose pay ranges in job postings, to applicants upon request, and to employees upon promotion, transfer, or beginning a new position, and on request for their current position. A “pay range” is defined as “the annual salary range or hourly wage range that the employer reasonably and in good faith expects to pay for such a position at that time.” Employers are not required to disclose other compensation information such as a description of benefits.
Covered employers are prohibited from retaliating against employees who seek to exercise their rights under the law.
For more information, read DCI’s blog on Massachusetts' Wage Transparency Act.
What This Means for Employers:
Evolving and growing regulations present a number of challenges for employers seeking to comply with multiple and differing pay transparency requirements. To stay ahead of the curve, employers should consider the following steps:
- Updating job posting templates with accurate, good faith pay ranges
- Choosing third party outreach and recruitment vendors that are compliant with pay transparency requirements
- Reviewing internal compensation structures to maintain compliance
- Training HR and talent acquisition teams on new disclosure obligations
- Ensuring documentation and recordkeeping practices are aligned with emerging standards
Many studies have shown that organizations that embrace pay transparency not only mitigate compliance risk but also strengthen trust, improve equity, and enhance their overall employer brand.
To learn more about partnering with DCI on creating or updating compensation structures to comply with these requirements, visit our Compensation Consulting web page.
