Columbus, Ohio is the latest city to enact a law requiring “pay transparency.” Starting January 1, 2027, employers in Columbus must disclose salary ranges in their job postings. This requirement was recently added to the law enacted by the City of Columbus in 2024, which prohibits employers from asking about a candidate’s salary history. The law applies to employers with 15 or more employees within the City of Columbus. Job placement and referral agencies are also covered.
What is Required?
Under the new law, covered entities must disclose a “reasonable salary range or scale” in their job postings. The ordinance states that the reasonableness of a salary range or scale is based on the factors specific to the position, including but not limited to:
- The flexibility of the employer’s budget;
- The anticipated range of experience job applicants may have;
- The potential variation in the responsibilities of the position;
- The opportunities for growth in and beyond the position;
- The cost of living for the various locations in which an applicant may work; and
- Market research on comparable positions and salaries
This indicates that the law gives employers some discretion in coming up with the salary range for a job posting.
The City of Columbus’ ordinance does not apply to applicants or job postings for positions that involve internal transfer or promotion within an organization. The law also does not prohibit any voluntary, unprompted disclosure of salary history information by an applicant.
Penalties
Fortunately for employers, there is no private right of action under the law, which means applicants cannot file suit against an employer for alleged violations of the law. Instead, applicants can file a complaint with the Columbus Community Relations Commission, which can impose civil penalties.
Takeaways for Employers
Columbus is the latest city to join others like Cleveland, Cincinnati and New York City to enact laws prohibiting employers from asking job candidates about their salary history and requiring transparency regarding the potential salary in job postings. There are also several states with similar laws. As a result, it is becoming “best practice” to no longer ask candidates about their current salary or their salary history. Instead, during the interview process, employers should ask candidates about their expected salary if they were to get the job. Additionally, employers should consider providing an expected pay range in all job postings, but especially those where remote candidates from anywhere in the country might be considered.
Contact
To discuss further, contact KJK Labor & Employment attorneys J. David Campbell (JDC@kjk.com), Beth Spain (BRS@kjk.com), Emily Vaisa (EOV@kjk.com) or Daniel Walsh (DJW@kjk.com).