New Cleveland law requires employers to list salary range in job postings and prohibits asking salary history from applicants

On April 28, 2025, the Cleveland City Council unanimously passed Ordinance No. 104-2025, which mandates disclosure of pay ranges in job postings and prohibits requesting salary history from applicants. Set to take effect on October 27, 2025, this ordinance introduces new requirements for employers operating within the city.

What are the key provisions of the ordinance?

Salary transparency requirements

Employers with 15 or more employees in Cleveland must include the salary range or scale for a position in all job postings, advertisements, and formal notifications. "Salary" is broadly defined as encompassing wages, commissions, hourly earnings, other monetary compensation, and benefits.

Prohibition on salary history inquiries

The ordinance prohibits employers from:

• Inquiring about an applicant's current or prior salary.
• Screening applicants based on their salary history.
• Relying solely on salary history to determine compensation offers.
• Retaliating against applicants who refuse to disclose their salary history.

However, employers may discuss salary expectations with applicants, provided they do not solicit salary history information.

Applicability and exemptions

The ordinance applies to private employers and employment agencies operating for such employers within Cleveland. It does not apply to:

• Internal transfers or promotions.
• Applicants are rehired by an employer who already possesses their salary history.
• Independent contractors.
• Positions with salaries determined by collective bargaining agreements.
• Federal, state, and local government employers, excluding the city of Cleveland itself.

Enforcement and penalties

The Fair Employment Wage Board (FEWB) enforces the ordinance. Employers found in violation may face civil penalties:

• Up to $1,000 for a first violation.
• Up to $2,500 for a second violation.
• Up to $5,000 for a third violation within a five-year period.

Comparative overview: Similar ordinances in other Ohio cities

Cleveland's initiative aligns with similar efforts in other Ohio cities:

• Cincinnati: Effective March 13, 2020, employers with 15 or more employees are prohibited from inquiring about or relying on an applicant's salary history during the hiring process.
• Toledo: Effective June 25, 2020, employers with 15 or more employees are barred from asking about or using an applicant's salary history in hiring decisions.
• Columbus: Effective March 1, 2024, employers with 15 or more employees are prohibited from inquiring about an applicant's wage or salary history.

To date, there have been no reported legal challenges to these ordinances in Cincinnati, Toledo, or Columbus.

What are the implications for employers?

Employers operating in Cleveland should take proactive steps to ensure compliance with the ordinance's effective date:

• Review and update job postings: Ensure all job advertisements include clear salary ranges or scales.
• Revise hiring policies: Eliminate inquiries about applicants' salary history from applications and interview processes.
• Train hiring personnel: Educate HR staff and hiring managers on the new requirements to prevent inadvertent violations.
• Consult legal counsel: Seek guidance to navigate the complexities of local ordinances and ensure alignment with broader employment practices.

If you have questions, contact Ryan Neumeyer at rneumeyer@mcdonaldhopkins.com