I mean, it makes sense that it would. At least for some positions..

Almost no career salary positions have a set rate at the time of making the job posting. The hiring manager has a budget and a pay band.

So they either post a wide enough range that they aren't tipping their hand to the competition or they post a specific target and lose the upper 1/3 of their applicants.

If you go the first route then nothing much changes, if you go the second route then you end up hiring less which means you have more spend on retention, less of your staff looks for new jobs so they advance less in career pay over time.

There is also for larger corporations the effect of location choice. Most of the places passing laws like this are already very high cost of living regions. The additional compliance costs is one more factor to lead them to choose a low cost of living alternative.

We have posted a lot more positions in the Midwest recently because of things like this for example.