What Small Businesses Need To Know About California's New Pay Transparency Law

pay transparency salary transparency small business hr Feb 08, 2023
The Power Of Pay Transparency

On January 1st, California's new pay transparency law came into effect. The law requires employers with at least 15 workers to include pay ranges in job postings. 

Employees can now also ask what the pay range for their position is, and larger companies must provide more detailed pay data for California's civil rights department than previously required. So, how will this law impact small businesses in California and other states?

Now, the first step to understand the new law is to examine what pay transparency means. It’s not about disclosing what every person in your organization makes. but rather that you have to disclose the ranges for the positions that people are making.

The goal of the law is to allow the state agencies to identify wage disparities and prompt companies to implement processes such as pay bands to assess their own pay. In other words, the law aims to bridge the pay gap and eliminate the anxiety and abuse that comes from salary negotiations.

If you want to learn more, tune in to this week’s episode of ‘While We Were Working!’

Sommer and Joey discuss everything small businesses should know about the new pay transparency laws in California:

  • How they could affect the rest of the nation.
  • How it would affect your team and workplace dynamic.
  • Why small businesses should consider implementing pay transparency.

In this episode's 'Consultant's Corner', Joey and Sommer also share 4 tips on successfully getting your team out of 'work from home mode' back into the office. 

You'll learn the importance of getting feedback from your team, improving productivity, and a few strategies to make the transition as smooth and balanced as possible.

Key Takeaways

  • What small businesses need to know about California's new pay transparency law (00:00)
  • The implications of California's new pay transparency and reporting obligations (05:47)
  • What is the goal of this new law? (08:36)
  • The main reason California employers need to build these pay bands (10:50)
  • Why you should consider adopting pay transparency (12:24)
  • How to get your team's opinion on working in the office (19:13)
  • Working from home vs. working at the office (22:30)
  • How to make the process a win-win situation (23:53)


Additional Resources

Check out our YouTube channel: https://youtube.com/@jumpstarthr

Do you need HR consulting for YOUR small business? We got you covered!

👉 Learn more at: https://jumpstart-hr.com/

Do you have a question that you want us to tackle on the show? 

📧 Email us at: [email protected]


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Hosts: Joey Price & Sommer Ketron

This show is powered by Jumpstart: HR, LLC 


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