Pay transparency: Is it important?
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EmailIf you are applying for positions, do you want to know the pay and does this matter in the workplace?
When considering a job opportunity, do you want to know the salary before applying? Would you hesitate to apply for a position if the pay or salary range is not listed? For many job seekers, a lack of pay transparency plays a significant role in determining whether they pursue an opportunity.
If you are searching for a job, you may be a person that does not apply to postings that do not list the pay. There are several reasons why a person may make this decision:
- Fear of wasted time. It takes time and effort to apply for a position; a person may not want to spend time completing the application to find out the pay is too low.
- Concerns about low offers. A company that does not transparently post their pay may be seen as doing so because they want to pay as little as possible.
- Workplace culture. A lack of transparency may raise concerns about trust, fairness and equity within an organization.
In recent years, many states have adopted pay transparency laws, sometimes referred to as salary transparency laws, requiring employers to disclose salary ranges in job postings. Pay transparency is the practice of an employer disclosing wage information, which may be actual salary ranges for a role or the manner in which an employer determines what to pay its employees.
Pay transparency as a movement is reshaping the workplace. According to research conducted by Cornell's ILR School, in 2024, there were 10 states that implemented pay transparency. Five additional states implemented laws in 2025. These laws and their requirements vary from state to state.
Of course, with any movement, there are advantages and disadvantages. While there is not a lot of data to review yet, there are beliefs that this will help to close racial and gender pay gaps and will result in more productive and happier employees. On the other hand, it can cause awkwardness among coworkers when they find out what someone is paid or what a new position is offering.
The next time you are searching for a new position, consider this question: Would you apply for a job that does not disclose its salary range? As of August 2026, the state of Michigan does not have a statewide pay transparency law. However, as more states adopt these policies, the conversation around compensation transparency is likely to continue growing.
Michigan State University Extension and Michigan 4-H Youth Development help to prepare young people for successful futures. As a result of career exploration and workforce preparation activities, thousands of Michigan youth are better equipped to be a part of and contribute to the future workforce.
