California pay transparency law: SB 642 and job postings
Last checked October 21, 2026, by Glenn at PostRight HR
Short answerEmployers with 15 or more employees, with at least one in California, must include a pay scale in every job posting, including postings by recruiters and job boards they use. Starting January 1, 2026, that range must reflect what you reasonably expect to pay for the role upon hire.
Key facts
| Law | Labor Code 432.3 (SB 358), amended by SB 642 |
|---|---|
| In effect since | January 1, 2023, with SB 642 changes from January 1, 2026 |
| Who's covered | Employers with 15+ employees and at least 1 in California |
| Each posting must include | A good-faith pay scale the employer reasonably expects to pay upon hire |
| Third-party postings | Covered. Recruiters and job boards you use must include it too |
| Remote jobs | Covered when the role could be done by a California worker |
| Penalties | $100 up to $10,000 per violation |
What SB 642 changed
Before 2026, many employers posted wide ranges that covered a role's whole career path. SB 642 tightened the definition to the range you reasonably expect to pay a new hire. It also extended the Equal Pay Act deadline to file claims to 3 years. If your ranges are very wide, this is the year to narrow them.
How to fix your postings
- List every live posting on your careers page, including remote and internal ones.
- Add a good-faith pay range to each one. Use the range you'd really offer a strong candidate today, not a padded one.
- Add a short benefits summary where the state requires it.
- Update the posting template itself so new roles start out compliant.
- Re-check monthly, since new postings and edits are where most gaps come back.
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Get my free snapshotSource: Clockspot, Pay Transparency Laws by State (fact-checked May 25, 2026). Laws and enforcement change often. Check the state's labor department or your employment counsel before relying on this for a legal decision.