New Jersey Pay Transparency Law: What Employers Need to Know in 2025?

Sreyashi Chatterjee
||
Published:
July 9, 2025
Sreyashi Chatterjee
||
Published:
July 9, 2025
About Author

New Jersey pay transparency law has transformed how employers post jobs since June 1, 2025. If you're hiring in New Jersey or from New Jersey candidates, you now need salary ranges and benefits information in every job posting. 

Here's what HR teams need to know about staying compliant.

  At a Glance
  Who it applies to: Employers with 10+ employees over 20 calendar weeks who do business in NJ, employ people in NJ, or accept job applications from NJ residents.
Includes all public employers regardless of size.
  What’s required: Include salary ranges and benefits descriptions in all job postings for new positions, promotions, and transfers.
Make reasonable efforts to notify current employees about promotional opportunities.
  Effective date: June 1, 2025

What Is the New Jersey Pay Transparency Law?

Starting June 1, 2025, New Jersey requires employers to include salary ranges and benefits information in all job postings. This applies to new positions, promotions, and transfer opportunities.

  • The law covers employers with 10 or more employees over 20 calendar weeks who do business in New Jersey, employ people there, or even just accept job applications from New Jersey residents. Public employers like state and local governments are also included.
  • Job postings must include the hourly wage or salary range the employer considers for the position, along with a general description of benefits and compensation programs. Employers must also make reasonable efforts to notify current employees about promotional opportunities within their departments.
  • Companies that fail to comply face fines of $300 for the first violation and $600 for each subsequent violation. New Jersey joins over a dozen states that now require some form of pay transparency in job postings.

Key Requirements for Employers

  • Include salary information in all job postings - Show hourly wage or salary range you'd actually consider for the position
  • Add benefits description - Provide a general overview of benefits and compensation programs available to the role
  • Cover all job opportunities - Apply requirements to new positions, promotions, and transfer opportunities
  • Notify current employees - Make reasonable efforts to inform existing staff about promotional opportunities in their departments
  • Update all posting platforms - Ensure compliance across job boards, company websites, social media, and internal communications
  • Work with third parties - Coordinate with recruiters and employment agencies to ensure their postings comply with the law
  • Define promotions clearly - Remember that promotions mean a change in job title with increased compensation

Who Must Comply with the New Jersey Pay Transparency Law?

  Employer Coverage Matrix
  Employer Type Coverage Requirements Examples
  Private Companies 10+ employees over 20 calendar weeks + business connection to NJ Businesses incorporated, headquartered, or with offices in NJ
  Out-of-State Employers 10+ employees + at least one NJ employee OR takes applications from NJ residents Remote-first companies with NJ workers, businesses that recruit NJ talent
  Service Providers Any size if they contract with or sell to NJ businesses/customers Consulting firms, software companies serving NJ clients
  Public Employers All government entities, regardless of size State agencies, counties, municipalities, school districts
  Employment Agencies Any recruitment or staffing firm operating in NJ Headhunters, temp agencies, job placement services
  Labor Organizations Unions and associations with 10+ members in NJ Professional associations and trade unions posting job opportunities

🔖Also read: US Pay Transparency Laws

What Needs to Be Disclosed in Job Ads as per New Jersey Pay Transparency Law?

Every job posting in New Jersey now requires two key pieces of information: realistic salary ranges and a clear description of the benefits associated with the role.

Salary Information (Required)

  • Hourly wage or salary range you would actually consider for the position
  • Must reflect realistic compensation expectations, not placeholder ranges
  • You can offer higher compensation than the posted range during the hiring process

Benefits and Compensation Programs (Required)

  • General description of health insurance options
  • Retirement plans and employer contributions
  • Paid time off policies
  • Professional development opportunities
  • Stock options or equity programs
  • Performance bonuses or incentive structures
  • Other perks like flexible work arrangements

Where This Applies

  • All job search websites and platforms
  • Company career pages and internal postings
  • Print advertisements and flyers
  • Email job announcements
  • Social media job posts
  • Company newsletters and internal communications
  • Third-party recruiter postings on your behalf

What are The Penalties for Non-Compliance? 

Civil Penalties

  • First violation: Up to $300 fine
  • Each subsequent violation: Up to $600 fine
  • Collected by the New Jersey Department of Labor and Workforce Development

How Violations Are Counted

  • Each job posting that lacks required information counts as one violation
  • The same job posted on multiple platforms still counts as just one violation
  • Every separate job opportunity that's non-compliant is a separate violation

Enforcement Process

  • Violations are handled through summary proceedings by the labor department
  • No private lawsuits are allowed under this law
  • However, employees could potentially file retaliation claims if they report violations and face consequences

Additional Risks

  • Damage to employer brand and reputation
  • Potential recruitment challenges if candidates avoid unclear postings
  • Possible scrutiny from other employment law compliance areas

How to Prepare for the New Jersey Pay Transparency Law 2025: Compliance Checklist

Since the law is already in effect, focus on maintaining compliance and refining your processes based on real hiring experiences.

Immediate Compliance Check

  • Review all current job postings to ensure they include required salary ranges and benefits information
  • Update any non-compliant postings immediately to avoid penalties
  • Verify that all platforms where you post jobs are displaying the required information correctly

Ongoing Monitoring

  • Establish regular audits of job postings across all platforms
  • Create a system to track compliance for each new posting before it goes live
  • Monitor third-party recruiters and agencies to ensure they're following the requirements

Process Improvements

  • Refine your salary range methodology based on early hiring experiences
  • Adjust benefits descriptions if candidates are asking for clarification
  • Update internal processes for notifying employees about promotional opportunities

Stay Current

  • Keep up with any administrative regulations that may be published
  • Watch for enforcement patterns and common violations
  • Review other states' pay transparency laws if you operate in multiple jurisdictions

Documentation

  • Maintain records of your compliance efforts and post reviews
  • Document the rationale behind pay ranges for consistency
  • Keep track of any adjustments made to ranges or benefits descriptions

Evaluate Results

  • Assess how the new requirements are affecting your recruitment process
  • Gather feedback from hiring managers about candidate quality and expectations
  • Monitor whether transparency is helping or hindering your hiring goals

How Compport Supports Transparency Compliance

Compport’s Compensation Management Software helps you:

  • Automate salary range visibility during planning and hiring
  • Generate compliant job postings with structured pay data
  • Create audit trails and version histories
  • Provide employees with Total Rewards Statements to reinforce transparency
  • Integrate with tools like Workday, SAP, and Darwinbox

Want to explore Compport

Compport social proof

Book a demo 

FAQs

Does NJ have a salary transparency law?

Yes, New Jersey's pay transparency law has been in effect since June 1, 2025. It requires employers with 10 or more employees to include salary ranges and benefits information in all job postings for positions, promotions, and transfers.

What is the New Jersey Transparency Law 2025?

The New Jersey Pay and Benefits Transparency Law requires covered employers to disclose hourly wages or salary ranges, as well as general benefit descriptions, in job postings. It also mandates reasonable efforts to notify current employees about promotional opportunities within their departments.

Does NJ law apply to remote jobs?

Yes, if you're an employer with 10 or more employees who take applications from New Jersey residents, employ people in New Jersey, or conduct business in the state, you must comply with the transparency requirements for remote positions advertised to New Jersey workers.

Share this post

Recommended articles

July 9, 2025

New Jersey Pay Transparency Law: What Employers Need to Know in 2025?

Read More
July 3, 2025

Why Job Grade Levels Matter in Pay Planning?

Read More
June 30, 2025

How to Create Salary Ranges with A Pay Range Builder?

Read More
LETS Talk

Learn how Compport can help your team

Get a Demo