The city of Columbus adopted a new ordinance expanding the “pay transparency” required for employers.

What are “pay transparency” laws?

Pay transparency laws require employers to disclose pay information related to open jobs so that potential applicants know wage and salary ranges before applying. These laws also often prohibit employers from asking about an applicant’s salary history or requiring applicants to disclose their current compensation information.

What are the benefits of these laws?

According to experts, these laws were initially intended to promote fairness in compensation and reduce pay disparities based on race, ethnicity, socioeconomic inequality, and gender.

Are there any downsides to these laws?

These laws are all relatively new to the workplace, so it is hard to measure any downsides. Again, experts say that those looking for work are first to see consequences. Some may make the salary range overly broad so that the “lows” and the “highs” are seldom used but weaken the bargaining strength of applicants.

Where can you find these laws?

At the federal level, the Equal Pay Act and Title VII of the Civil Rights Act of 1964 don’t address pay transparency; state and local governments had to fill in the gaps.

Ohio does not have a pay transparency law at the state level that impacts private-sector employers. Cities in Ohio have filled that gap, including Cincinnati, Cleveland, Columbus, and Toledo.

What does the Columbus ordinance require?

All employers with 15 or more employees within the city limits are covered. However, federal, state, or county employers within the city limits are not covered.

The covered employers already cannot ask about a candidate’s current salary or past salary history. These employers now have to provide a “reasonable” salary range or scale for potential employment in employment postings.

What is a “reasonable” salary range?

The reasonableness is based on factors specific to the available position. These include, but are not limited to:

1. The flexibility of the employer’s budget; 
2. The anticipated range of experience job applicants may have; 
3. The potential variation in the responsibilities of the position; 
4. The opportunities for growth in and beyond the position; 
5. The cost of living for the various locations in which an applicant may work; and 
6. Market research on comparable positions and salaries.

This new requirement does not apply to internal applicants for transfer or promotion, nor does it prohibit a “voluntary and unprompted disclosure of salary history information by an applicant….”

Although the new law goes into effect on December 5, 2025, the city won’t enforce the law until January 1, 2027.

If you have questions about the new pay transparency law in Columbus, or those in Cleveland, Cincinnati, or Toledo, reach out to Paul Bittner or any member of the Workplace Solutions Practice Group.

This publication is intended for general information purposes only and does not and is not intended to constitute legal advice. The reader should consult with legal counsel to determine how laws or decisions discussed herein apply to the reader's specific circumstances.