NJDOL backs away from a rule that would have restricted how employers advertise pay under New Jersey’s Pay Transparency Law
Livingston, NJ. The New Jersey Department of Labor and Workforce Development has proposed eliminating a rule that would have capped the width of pay ranges employers post in job advertisements under the state’s Pay Transparency Law.
The Department’s October 19, 2026, notice adopts the position taken by the Employers Association of New Jersey and other organizations, which objected that the cap exceeded the Department’s authority under the statute.
Under New Jersey’s Pay Transparency Law, which took effect June 1, 2025, employers with 10 or more employees must list the pay for a job when they advertise it, either as a single rate or a range, along with a general description of benefits. They must also make reasonable efforts to let current employees know about promotion opportunities before deciding who gets the job.
When NJDOL proposed rules to carry out the law in September 2025, it went a step further. The top of any posted range could be no more than 60 percent above the bottom. A job advertised at $100,000 to $165,000 would have broken the rule, even though the law itself allows employers to post a range and sets no limit on its width.
In comments filed October 16, 2025, on behalf of its nearly 500 employer members, EANJ argued the limit was arbitrary, rigid, and beyond what the law allows. EANJ pointed out that wider ranges reflect real business needs, including competing for talent, paying for experience and skill, and leaving room to reward performance and specialized expertise.
The New Jersey Chamber of Commerce, New Jersey School Boards Association, New Jersey Hospital Association, NJBankers, and the Securities Industry and Financial Markets Association raised the same objection. In a notice published October 19, 2026, the Department agreed to delete the provision “as suggested by the commenters.”
“The statute lets employers post a range and sets no limit on it. The cap went beyond what the Legislature wrote, and we appreciate that the Department took a second look and responded to the needs of employers,” said Amy Vazquez, Vice President of EANJ. “Employers build pay ranges around experience, skill, and the market. A fixed percentage didn’t reflect how compensation actually works; removing it is the right call.”
The change is not yet final. NJDOL is accepting public comments on the revised proposal through December 18, 2026. Other parts of the proposal remain under review, including a requirement that any posted range have both a minimum and a maximum, so a phrase like “$17.00 per hour and up” would not comply.
EANJ also asked the Department to clarify which out of state employers and jobs are covered, to allow promotion notices by email and workplace messaging, to define which departments must be notified, and to address commission, per diem, and piece rate pay.
EANJ will continue to press for those changes and keep our members informed as the rule moves forward.
About EANJ
The Employers Association of New Jersey is a nonprofit employers association providing education, guidance, and support on employment law compliance and human resource best practices. EANJ serves employers across industries with a focus on practical, actionable solutions.