The Impact of Pay Transparency in Job Postings on the Labor Market

David Arnold, Simon Quach and Bledi Taska

No 34480, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: This paper studies the labor market effects of recent state-level policies that require employers to disclose salary information in job postings. Leveraging a difference-in-differences design, we show that employers increased the fraction of postings with salary information by 30 percentage points. Across three datasets, we find consistent evidence of an increase in wages of 1.3-3.6%. We find no impacts on pay dispersion, employment, the number of postings, or skill and education requirements. Our evidence is consistent with pay transparency increasing competition in the labor market, leading to positive spillovers on incumbent workers and always-posting firms.

JEL-codes: J30 J31 J38 (search for similar items in EconPapers)
Date: 2025-11
New Economics Papers: this item is included in nep-hrm and nep-lma
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Citations: View citations in EconPapers (1)

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