I still remember the first time I asked a colleague how much they made. We were both a few years out of college, working similar roles, similar hours, and if I’m being honest, I just assumed we were on the same level. Spoiler: we weren’t. He was making $9,000 more. Not because of performance. Not because of seniority. Just because he’d asked for more—and I hadn’t known I could.
That conversation changed how I approached work forever. And it’s also why I’ve been watching the rise of pay transparency laws closely—not just as an analyst, but as someone who understands how much financial inequality hides behind silence.
Across the U.S., more cities and states are requiring employers to post salary ranges in job descriptions, and on paper, it feels like real progress. But now that the laws are rolling out in real time, a bigger question’s emerging: Do they actually help close the wage gap—or just expose it?
What Are Pay Transparency Laws?
Pay transparency laws require employers to share compensation information publicly, usually in job postings. The goal is to provide clarity upfront—so candidates aren’t guessing, wasting time, or negotiating in the dark.
But here’s the nuance: not all transparency laws are created equal. Depending on where you live, the requirements vary wildly.
A few current examples:
- New York City requires employers with four or more workers to list a “good faith” salary range in every job ad.
- California’s law extends to companies with 15+ employees and applies even if the job can be performed remotely from the state.
- Colorado was one of the first to mandate this—and even includes benefits info in job postings.
- Washington State requires salary ranges and a general description of benefits and bonuses.
Other states like Illinois, Maryland, and Rhode Island are following suit, with more legislation in the works for 2025 and beyond.
While the U.S. doesn’t have a nationwide law on pay transparency as of 2025, 14 states have taken the lead by enacting their own regulations.
The Wage Gap Problem Transparency Is Trying to Fix
Let’s be blunt: the wage gap is not theoretical. It’s real. It’s measurable. And it’s stubborn.
- On average, women in the U.S. earn 84 cents for every dollar earned by men.
- For women of color, the gap is even wider—Black women earn about 67 cents, and Latina women around 57 cents per dollar.
- LGBTQ+ professionals, disabled workers, and older employees also experience consistent wage disparities.
A big reason? Lack of information. When people don’t know what’s fair to ask for—or what others are making—they’re far more likely to accept less than they deserve. It creates what economists call an “information asymmetry,” and employers have long benefited from that silence.
Transparency laws aim to flip that. They’re designed to put negotiating power back into the hands of workers by giving everyone the same starting point.
But here’s the million-dollar question: Does visibility actually change behavior?
What’s Working So Far (The Wins Are Real)
Let’s start with the good news—because there is good news.
1. Pay Ranges Are Giving Job Seekers a Stronger Starting Point
Candidates are no longer walking into interviews blind. They’re better prepared to advocate for themselves, ask sharper questions, and identify when a range is too vague or too wide (which is a flag in itself).
And yes, the best ranges are those that narrow in on a $10K–$20K window, not a “$60K to $150K depending on experience” free-for-all.
2. Employees Are Comparing Notes—And Demanding Adjustments
I’ve talked to multiple HR professionals who’ve said pay transparency has forced internal audits—because when employees see new roles posted with higher ranges, they start asking the obvious: “Why am I underpaid for doing more?”
In some cases, this has led to companies quietly correcting internal pay disparities to avoid lawsuits or morale drops.
3. Women and Marginalized Workers Are More Likely to Benefit
Studies suggest that transparency laws narrow gender and racial pay gaps, particularly in public sectors and large organizations where accountability is higher.
Where Transparency Falls Short (And What We’re Still Figuring Out)
As promising as the shift is, transparency laws are not a cure-all. In fact, a few new problems are surfacing.
1. “Compliance Culture” Without True Equity
Some companies are posting vague or misleading ranges just to meet the legal requirement. Think $50,000–$200,000 for a mid-level role. Technically compliant? Sure. Helpful? Not at all.
This kind of ambiguity often discourages applicants—especially women and marginalized workers who tend to self-select out of applying unless they meet 100% of the criteria.
2. Low-End Anchoring Still Happens
Even with a visible range, many candidates still anchor themselves toward the lower end—especially if they’re newer, less confident, or afraid of losing the offer. So the gaps persist, just more publicly.
Companies also know that listing a range doesn’t force them to offer the high end. If someone accepts a lower figure, that’s still technically legal.
3. Existing Employees Left in the Dust
While transparency helps new hires, existing employees may still be stuck under older pay bands—unless they ask. And asking takes emotional labor, perceived risk, and (let’s be honest) a bit of nerve most people are still developing.
What You Can Do as a Worker or Job Seeker
Here’s where the transparency conversation becomes personal. No matter where you are in your career, you can use this shift to your advantage—without waiting for your employer to fix the whole system.
1. Do Salary Research Before Any Interview
Now that ranges are public, use them. Sites like Levels.fyi, Glassdoor, and Comparably offer even more insight. Cross-reference posted salaries with industry norms and geographic averages.
2. Ask Directly—and Early
If a job post doesn’t include a range but your state requires it, you’re fully within your rights to ask: “Can you share the salary range for this role, so I can make sure it aligns with my expectations?”
Say it calmly, and without apology. It sets the tone.
3. Document Your Wins
Whether you’re negotiating a raise or comparing offers, keep track of your accomplishments, impact, and outcomes. Data beats vibes when it comes to asking for money.
4. Don’t Be Afraid to Walk Away
If a posted salary is low and non-negotiable, you’re not being “difficult” for passing. You’re being strategic. Companies are still adjusting to the new norm, and not all of them are ready for talent who knows their worth. Be patient—and firm.
According to a 2024 SHRM report, 69% of job seekers are more likely to apply for a role when the salary range is listed. The market is changing, and you’re allowed to have high standards.
Your Weekly Edge
- If it’s vague, ask anyway. Don’t assume a wide range is set in stone. Request clarity—early.
- Use transparency to audit your worth. Compare what’s posted for your role with what you’re making.
- Track your value—not just your tasks. Salary increases come from impact, not effort alone.
- Watch how companies talk about pay. If they’re nervous or defensive, that’s data in itself.
- Don’t internalize a low offer. Pay range = starting point, not a final verdict on your value.
Rethinking Fairness, One Job Post at a Time
Pay transparency won’t fix everything. It doesn’t eliminate bias, cure underrepresentation, or guarantee fair offers across the board. But it does one powerful thing: it opens the door to honest conversations that were too often whispered, avoided, or punished.
That alone is progress.
As these laws spread and evolve, so will the culture around compensation. And the more informed, confident, and curious you are, the more prepared you’ll be to navigate this new terrain—not just react to it.
Because you don’t just deserve transparency. You deserve fairness. And this moment? It’s a chance to start asking for both.
