Hot Topic Alert: Virginia's New Salary Transparency Law
- TalentRemedy
- 51 minutes ago
- 3 min read
Senate Bill 215 / House Bill 636 takes effect July 1, 2026 — here's what employers need to do now.
By: Angela Wells
We knew it was coming! It only makes sense that Virginia has decided to join the surrounding areas of DC and Maryland requiring salary transparency.
If you haven’t heard yet, Virginia’s new Pay Transparency Act (Senate Bill 215 / House Bill 636) will take effect on July 1, 2026 and applies to all employers in Virginia, no matter employer size. This law states that employers (1) cannot request or rely on a prospective employee’s wage or salary history; and (2) are required to disclose in job postings a salary range for open positions.
The good news is that it’s not as stringent as the related Maryland regulation, but keep in mind that posting salary range includes every job, promotion, transfer, or other employment opportunity in both public and internal postings.
You may be wondering how this applies to you if you have employees in several states. While not clarified, it’s safest to assume this applies to where an applicant who is hired might work (or would report to someone who does work), even in part, within the Commonwealth of Virginia.
Good Faith
The range must be set in “good faith”. While there’s not specific guidance on what this means, you’ll want to consider what you truly believe you are able to pay and what will attract qualified candidates at the time of the posting. Factors to consider include previously determined ranges, job market pay scales, actual pay for employees in equivalent positions, as well as company or department budget. Remember to consider the experience level you’re willing to accept.
Anti-Retaliation
Employers may not retaliate against employees or applicants for declining to provide wage history or for requesting wage range information.
Penalties
As you can imagine, violations can carry significant penalties.
Civil Penalties- The state may impose $1,000 for a first violation and $5,000 for subsequent violations, in addition to other legal or equitable relief ordered by a court.
Private Right of Action- Employees or prospective employees may file a lawsuit within one year of a violation to recover actual damages and equitable relief. For salary range posting violations, applicants must first notify the employer and give them 15 business days to correct the issue before filing suit. In failure-to-hire cases, damages may include both back pay and front pay.
Action Items
Review Job Postings- Ensure all positions include accurate wage ranges.
Update Hiring Practices- Remove questions about prior compensation from applications and the interview process.
Document ‘Good-Faith’ Ranges- Maintain records showing how wage ranges were determined to demonstrate compliance.
Train Management- Educate your team on the new restrictions and disclosure requirements.
Summary
Virginia’s new pay transparency law is designed to promote pay equity by shifting focus from past compensation to the value of the role itself. Employers must disclose wage ranges, avoid using salary history in hiring decisions, and provide protections against retaliation.
It’s important to stay in compliance by reviewing and updating hiring practices and job postings as needed before the law takes effect on July 1, 2026.
If you're not sure where to start — or just don't have the bandwidth to tackle this on top of everything else — we've got you. Contact TalentRemedy and we'll help you get your job postings and hiring practices compliant before July 1.
Sources:
Comments