Where is that study? I can't seem to find it. Was it cited on their podcast? If so, it might be the one below.
It found the laws lead to 2% declines, because:
"Our model predicts that transparency reduces the individual bargaining power of workers, leading to lower average wages. A key insight is that employers credibly refuse to pay high wages to any one worker to avoid costly renegotiations with others under transparency."
Another study posited that posting salary ranges provides information to other companies about what the role is worth, potentially leading to a form of collusion. This seems similar to the idea above.
[OC] Grocery Price Comparison Across Three Stores in Three Countries
mikescha t1_iw2ecbx wrote
Reply to comment by Au_Sand in How NYC’s pay transparency law could help millions across the U.S. earn more money by strawberrykid_sg
Where is that study? I can't seem to find it. Was it cited on their podcast? If so, it might be the one below.
It found the laws lead to 2% declines, because:
"Our model predicts that transparency reduces the individual bargaining power of workers, leading to lower average wages. A key insight is that employers credibly refuse to pay high wages to any one worker to avoid costly renegotiations with others under transparency."
https://www.nber.org/papers/w28903
Another study posited that posting salary ranges provides information to other companies about what the role is worth, potentially leading to a form of collusion. This seems similar to the idea above.