The
law, passed in January, is intended to close wage gaps in which
women and non-white employees are paid less than white men. Some
businesses had argued the city needed more time to advise more
than 200,000 businesses affected by the law about compliance and
to address unintended consequences.
"Salary transparency is incredibly critical in ensuring that we
are closing the wage gap," Council Member Nantasha Williams said
in a statement about amendments to the law including the delay.
In 2019, the most recent year for which data is available, the
median earnings in New York State for men working full-time was
$60,813, nearly $9,000 more than the median earnings for women
of $51,922. A 2021 study of New York City municipal employees
found that the median white employee's salary was $27,800 higher
than a Black employee's salary and $22,200 higher than a Latino
employee's salary.
The city's five chambers of commerce said local businesses
supported the goals of the law but called for more time before
enforcement began.
Some business leaders said in an open letter the law may make it
harder for small businesses owned by women and members of
minority groups to attract talented candidates if wealthier
employers could outbid them after seeing their salary offer.
"As a woman, yeah, I want to be paid the same as a man," Lisa
Sorin, president of the Bronx Chamber of Commerce, said in an
interview. "But will you limit the (pool of) potential
candidates if I can't pay as much as somebody else?"
The law is similar to state transparency laws in California and
Colorado.
New York City's amended law applies to employers with four or
more employees and to both hourly wage earners and workers on
annual salaries, so long as the job is performed at least partly
in the city. The council rejected business leaders' efforts to
exclude many smaller employers.
(Reporting by Jonathan Allen; Editing by Cynthia Osterman)
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