COMP NEWS – The Governor of Illinois has signed off on a pay transparency law that will compel companies to share salary ranges for job positions.

• Illinois Gov. J.B. Pritzker, a Democrat, on Friday signed into law pay transparency legislation that requires employers to include pay ranges and benefits in job postings, expanding the state’s Equal Pay Act of 2003 law. The legislation, HB 3129, goes into effect Jan. 1, 2025. 
• The law also requires that employers notify workers of promotion opportunities within 14 days after the job is posted externally.
• Under the legislation, companies must first share a salary range for a position before asking candidates about their wage expectations for the role. 

Illinois follows a spat of other states passing new pay transparency laws.

Illinois is the latest in a string of states passing new pay transparency laws, joining others like Colorado and California in expanding employers’ requirements. 

New York City’s pay transparency mandate went into effect in November, requiring companies to post a “good faith” salary range in job listings. Almost immediately, some companies listed ranges spanning more than $100,000.

Illinois’ law similarly calls for pay scales to be in “good faith” and to be based on previous ranges for the position, the actual range employees are currently paid for similar roles and the amount budgeted for the position, representatives from labor and employment firm Littler explained in a blog post for the firm. 

To read more about Illinois and its new pay transparency law, click here.

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