Businesses reject Colorado workers over new wage law

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  • Some companies are looking for remote workers from all states except Colorado, the WSJ reported.
  • Colorado passed a law Jan. 1 requiring employers to disclose wages in job postings.
  • This decision was aimed at ensuring equal pay for equal work.
  • See more stories on the Insider business page.

Colorado passed a law requiring employers to tell potential employees how much a job pays – and six months later, companies are rejecting applicants from the state altogether.

Johnson & Johnson, McKesson, CBRE Group and Cardinal Health recently posted job ads looking for workers in all of the United States “except Colorado,” the Wall Street Journal’s Chip Cutter reported Thursday.

“The workplace is flexible if approved by the company, except the position cannot be performed remotely from Colorado,” read two job postings from Johnson & Johnson for a senior manager of commercial finance and a senior director of operations, according to The Journal.

The job postings do not explain why the work cannot be performed in Colorado.

Read more: Workplace expert shares the exact steps you need to take to quit your job without burning bridges

As of Jan. 1, Colorado law requires employers to disclose compensation or the hourly or salary range in all job postings.

Colorado adopted the rule to ensure equal pay for equal work. A 2020 report from the National Women‘s Law Center found that gender pay gaps are narrower in areas that require pay scale transparency in job postings.

Women who worked full-time, full-year earned 82.3 cents for every dollar earned by men in 2019. A McKinsey study found that women negotiated for promotions and raises more often than men, but were less likely to receive them – in part because women who negotiate are 30% more likely to receive comments indicating that they are “intimidating”, “overly aggressive” or “bossy”.

Career experts told Insider’s Erin McDowell that asking for the salary range before going for an interview can be tricky as employers are turned off by applicants who don’t appear professional, and online salary crowdsourcing sites like Glassdoor and Payscale may be inaccurate.

Johnson & Johnson, McKesson, CBRE Group and Cardinal Health were not immediately available for further comment.

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