Pay transparency is the new baseline in recruitment and can be a much more valuable asset than a hindrance if leveraged properly.

This year, many states tightened or launched transparency requirements, adding real teeth (and fines!) while pulling remote and multi‑state employers into scope. Massachusetts’ law now requires good‑faith ranges in postings and annual pay‑data reports for larger in‑state employers. New Jersey’s law took effect in June, mandating salary or ranges, plus a general description of benefits in most job ads and promotion notices. Broader trackers indicate the same direction of travel: a growing list of states now require pay information in postings or at defined hiring stages, with additional states tightening rules this year or planning to do so in 2026.

For HR and recruitment leaders, the shift raises an urgent question: How do you move from chasing compliance to using transparency as a magnet for qualified talent?

Treat Compliance As Your Conversion Engine

Organizations that publish accurate ranges and benefit summaries reduce mid‑process drop‑offs and misaligned salary conversations. Regulators now expect this clarity; clearly stated minimum–maximum compensation and commission disclosures are required.

What to do now:

• Standardize a national job‑ad template with:
  • A closed pay range tied to your pay philosophy
  • Brief benefits summary
  • Whether variable comp applies
• Tighten your ranges:
  • Some states are proposing ceilings on range width, which reflects a growing scrutiny of overly broad ranges
• Publish your pay philosophy:
  • This is recommended to drive consistent decisions and defend “good‑faith” ranges

This shift isn’t just a trend; it’s a strategic response to evolving business needs and candidate expectations.

Pair Transparency With Skills-Based Hiring To Widen Your Funnel

Transparency removes guesswork about compensation; pairing it with skills‑first evaluation removes guesswork about fit.

What to do now:

• Rewrite job ads to highlight the skills that determine where a candidate lands within the posted range, then assess for those skills
• Map adjacent talent to create targeted outreach campaigns, especially effective in healthcare, manufacturing, and logistics, where licensure or shift work narrows pools

Candidate Experience Is Still The Conversion Lever

Transparency won’t save a slow process.  Without contact for 1-2 weeks, candidates assume they’ve been ghosted.

What to do now:

• Publish your timeline in the job ad (e.g., “48‑hour resume review, interviews within 7 days”), then meet it
• Automate status nudges at set intervals and train managers to provide specific feedback aligned to the described skills needed for the position

Watch The Noncompete Landscape

Since there is no longer a threat of a nationwide noncompete ban by the FTC, the landscape for noncompete laws and enforcement are back to a state-by-state basis.  For recruiting, that means more experienced candidates are in play across markets, making them more mobile.

What to do now: 

• Refresh competitor‑talent campaigns where state law allows, and be explicit about your posted ranges and mobility pathways

Measure What Matters – And Prove ROI

• Range accuracy: % of hires within the posted range, plus or minus a small variance
• Funnel lift from skills‑based ads: change in qualified applicants and offer‑acceptance rate after rewriting job descriptions
• Speed‑to‑decision & candidate experience: time from application to offer; candidate net promoter score trends vs. acceptance rate

Embrace Pay Transparency

Pay transparency is no longer a checkbox; it’s the front door to your employer value proposition.  The companies that embrace the new standard will:

1. Standardize for the strictest rules
2. Publish credible ranges tied to a clear pay philosophy
3. Evaluate skills to broaden qualified pools
4. Run a faster, more respectful process

Do these things, and your company will comply with a changing legal map and convert more right‑fit talent, all at a lower friction and higher trust.