New York City’s salary transparency law takes effect this week, giving employees an idea of the wage ranges for jobs across the city, including those at top companies like Citigroup, JPMorgan Chase, and Verizon.
Under the law, which was initially supposed to take effect in May but was pushed back after company complaints, employers must publish “good faith” salary ranges for job postings, including minimum and maximum pay. It’s intended to close gender and racial wage gaps.
While that provides some clarity to job seekers, it can be complicated for employers, says Domenique Camacho Moran, a New York–based employment attorney. They have to consider what current employees make, what will make them competitive in the current tight labor market, and what they would pay based on a potential applicant’s experience, skills, and other factors.
That’s led some job openings to have seemingly large salary ranges listed on employer websites, already angering applicants. For example, a communications director at PricewaterhouseCoopers could earn $147,000 to $466,500 annually in New York City. In Colorado, which also has salary transparency laws in effect, the same position at the company is listed for $129,000 to $409,500 annually, reflecting the difference in cost of living.
“I’m not surprised that there are some jobs for which the range could vary dramatically,” says Camacho Moran. “There’s a little bit of formula and experience, and a little bit of guesswork in what they will have to pay to attract talent.”
Additionally, employers may be able to offer a salary outside of the range listed. It all comes down to what “good faith” means and the skills and experience of each applicant.
“There is no restriction on the employer; if they post it in good faith, they could pay more” than what is listed online, Camacho Moran says. “The cautionary tale for the employer is you can’t do that all the time.”
Regardless, the ranges will provide applicants and current employees with more insight into their potential or current employer’s compensation practices.
Here’s what some of the top companies in New York City are paying as of Nov. 1, 2022.
Amazon
A software engineer can earn $115,000 a year to $223,600 a year, depending on where they live, according to Amazon’s careers website.
“Pay is based on a number of factors including market location and may vary depending on job-related knowledge, skills, and experience,” the site reads. “Dependent on the position offered, equity, sign-on payments, and other forms of compensation may be provided as part of a total compensation package.”
A posting for a similar job in Aspen, Colo., has a salary range between $88,400 and $185,000.
American Express
A senior manager in client management at American Express can expect to earn a base salary between $80,000 to $155,000 annually, plus a bonus and other benefits.
“The above represents the expected salary range for this job requisition,” the job listing notes. “Ultimately, in determining your pay, we’ll consider your location, experience, and other job-related factors.”
Meanwhile, a Java engineer with four-plus years of experience can expect to earn between $70,000 to $135,000, plus a bonus and benefits.
Citigroup
A senior analyst in wealth management operations at Citigroup can expect to earn between $72,550 to $108,830, while an investments lead in Citi Treasury and Trade Solutions can earn a base between $200,000 to $300,000.
Deloitte
The management consulting company lists a wage range of $84,000 to $155,000 for a compensation strategies consultant with at least two years of experience.
It notes that the range takes into account applicant skill sets, experience and training, licensure and certifications, and other business and organizational needs, among other factors.
“At Deloitte, it is not typical for an individual to be hired at or near the top of the range for their role and compensation decisions are dependent on the facts and circumstances of each case,” the job application reads.
JPMorgan Chase
An associate at JPMorgan can expect to earn a base salary between $135,000 to $200,000. Meanwhile, a private client advisor could earn a base salary between $170,000 to $225,000 per year.
PricewaterhouseCoopers
PwC makes New York City applicants copy and paste an extra link from the company’s job descriptions to view the pay.
For a senior associate in the Products and Technology department, the listed range is between $64,000 to $173,000, plus a discretionary annual bonus. “Actual compensation within that range will be dependent upon the individual’s skills, experience, qualifications, and applicable laws,” the site reads.
A customer support manager can earn $91,000 to $207,000 per year, plus a bonus. In Colorado, which also has a salary transparency law, a business analyst can expect to earn between $74,000 and $210,500. Meanwhile, the same job in New York would pay between $84,500 and $240,000 annually.
Verizon
A data scientist with at least four years of relevant work experience working out of New York can expect to earn between $114,000 and $211,000 a year, and a project manager can earn between $98,000 and $182,000 a year. A data analytics manager can earn between $130,000 and $241,000 annually.
“The salary will vary depending on your location and confirmed job-related skills and experience,” the listings read. This is an incentive based position with the potential to earn more.”
Meanwhile, a sales associate in New York City with a high school degree or GED earns $18 an hour. They can also earn more based on commission from sales.
Not all companies have complied yet
Some top companies, including Google, Meta, and IBM, did not have salary ranges listed on their NYC-based job postings reviewed by Fortune as of the time of publication. Google and Meta did not immediately return a request for comment as to why the salaries aren’t listed yet.
“IBM recognizes the value and importance of wage transparency and, beginning November 1, 2022, will include pay ranges for all new U.S. job postings,” a company spokesperson said in an email.
This story was originally featured on Fortune.com
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Source: https://finance.yahoo.com/news/york-city-salary-transparency-law-171355896.html