New York has brought in a pay transparency law aimed at increasing transparency and worker protection. Illinois aims to improve the worker rights for freelancers.
New York State’s Pay Transparency Law.
Starting from September 17, 2023, every company in the New York State with over four workers should include the offering pay range in their job ads, transfer or promotion of the jobs. This also extends to the New York City law that became effective in November requiring a minimum of four employees with good faith salary ranges to be advertised for posted positions.
Nevertheless, none of the laws cited above apply to the assistance of temporary help which a company can engage in providing services for another business.
Additionally, in accordance with New York State’s regulation, the description of the advertised position for any job posting, advancement, and transfer must be stated, except where the title does not require additional explanation.
Effect of pay transparency laws.
The pay transparency laws have already been put into action. Transparency laws that have swept in as recent legislation ensure that at least one-half of jobs posted on places like Indeed will include pay rates. It should be noted that at this point, Washington State and California lead in the percentage of jobs posted which contain salary range information. However, it is anticipated that New York will quickly close this gap of pay transparency on a state level.
Illinois Freelancer Worker Protection Act
On August 4, 2023, Illinois Governor JB Pritzker signed the Freelancer Worker Protection Act. With effect from July 2024, the law is intended to protect freelancers.
This new law would include someone who is considered a worker providing products and/or services in IL and receiving at least 500 dollars from one buyer.