Columbus Expands Pay Transparency requirements for Employers
Columbus, Ohio has enacted a new ordinance bolstering pay transparency for job postings, joining a growing number of cities and states addressing compensation equity.The ordinance, adopted by the city, requires employers to disclose salary information upfront, aiming to promote fairness and reduce pay disparities.
Understanding pay Transparency Laws
Pay transparency laws generally mandate that employers include wage or salary ranges in job advertisements. They frequently enough also restrict employers from requesting or requiring applicants to reveal their salary history. The intent, according to experts, is to address historical inequities in compensation related to race, ethnicity, gender, and socioeconomic status.
federal & State Context
While federal laws like the Equal Pay Act and Title VII of the Civil Rights Act of 1964 lay groundwork for equal pay, they don’t specifically address pay transparency. This has led state and local governments to enact their own regulations. Currently, Ohio lacks a statewide pay transparency law impacting private employers, but several cities have taken action, including Cincinnati, Cleveland, columbus, and Toledo.
Who is Affected by the Columbus Ordinance?
The new ordinance applies to all employers wiht 15 or more employees operating within Columbus city limits. notably, it does not cover federal, state, or county employers located within the city. Employers already prohibited from asking about a candidate’s salary history or past compensation will now also be required to include a “reasonable” salary range or scale in all employment postings.
Defining a “Reasonable” Salary Range
The ordinance doesn’t prescribe a rigid formula for determining salary ranges, but outlines several factors employers should consider when establishing them. These include:
- The employer’s budgetary adaptability;
- The anticipated range of experience among applicants;
- The potential variation in responsibilities for the position;
- Opportunities for growth within and beyond the role;
- The cost of living in potential work locations; and
- Market research on comparable positions and salaries.
Important Clarifications
The ordinance specifically excludes internal applicants seeking transfers or promotions from these requirements. Furthermore, it does not prevent applicants from voluntarily disclosing their salary history if they choose to do so.
timeline for Implementation
While the ordinance officially goes into effect on December 5, 2025, the city of Columbus will not begin enforcement until January 1, 2027.
