Hawaii says “Aloha” to pay transparency legislation, joining six other states

While Hawaii was the 50th state to join the United States in 1959, it recently became the fifth state to pass pay transparency legislation. The Hawaii Legislature introduced this bill to not only help increase pay transparency and promote equal pay for all employees, but to recognize the importance of efficiency during the interview process. The Hawaii Legislature believes that by enacting pay transparency, employers and prospective employees will spend less time interviewing because candidates will be able to select which roles to apply to based on their salary expectations.

Beginning January 1, 2024, Hawaii will join Colorado, California, Washington State, New York State, and several cities, such as New York City, in requiring employers to include salary ranges in all job postings.

What will Hawaii require? We’ve broken it all down for you:

Who must comply?

Employers with 50 or more employees, excluding public employers whose positions are determined pursuant to a collective bargaining agreement. The bill is unclear on whether all 50 employees must be in Hawaii.

What if I’m posting for general remote roles that can be performed anywhere?

The bill is unclear as to the requirements for general remote work.

What information must employers include in job postings?

All job postings must include the hourly rate or salary range that “reasonably reflects the actual expected compensation.”

Unlike other pay transparency laws we’ve seen, this law will not apply to internal transfers or promotions.

When must employers post salary ranges?

Beginning January 1, 2024.

What else do we need to know?

This bill would also prohibit employers from discriminating against their employees based on “any protected category”, — not just based on “sex” — by paying one employee less for “substantially similar work.”

What’s next?

On July 3, 2023, Governor Josh Green signed this bill into law. Hawaii employers with 50 or more employees will have to start posting salary ranges in their job postings beginning January 1, 2024.

To stay up –to date on the latest pay transparency legislation in the United States, check out our legislation landing page.

Need help responding to pay transparency legislation?

To learn how Payscale helps organizations drive pay transparency objectives and build confidence in salary ranges posted on job descriptions, explore Payscale’s Pay Transparency Solution.

Explore Payscale’s Pay Transparency Solution