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Inside the Startup Salary Secret: Why NYC Laws Were Skipped

Discover the hidden truth behind New York City's salary transparency laws and why some startups might have overlooked them. Uncover the real story.

1 views·5 min read·Jun 19, 2026
Ask HN: Why are some YC startups not posting salary ranges when law requires it?

It was a quiet observation that sparked a big question. Job postings, usually a straightforward affair, started to look a little different. Specifically, in New York City, a new rule was supposed to make things clearer for everyone looking for work.

This rule aimed to bring pay out into the open. But some job listings, especially from well-known new companies, seemed to be missing a crucial detail: the actual salary range. It made people wonder, what was really going on behind the scenes? This overlooked story reveals more than just a missing number.

The Law That Changed Everything (Or Did It?)

New York City put a new law into effect in late

  1. This law stated that all job postings for positions based in NYC must include a good faith salary range. The idea was simple: give job seekers more power and make hiring fairer for everyone involved. It was a significant step towards a more equitable job market.

Before this law, many companies kept salary information secret until much later in the hiring process. This often led to wasted time for both job seekers and employers, as candidates might not discover the pay was too low until after several interviews. It also meant that some people might get paid less just because they didn't know what to ask for, perpetuating existing wage gaps. This law aimed to level that playing field.

The Curious

Case of Missing Numbers

Despite the new legal requirement, some job ads for companies in New York City seemed to ignore it. People noticed that certain startup job postings, particularly those from companies associated with a major startup accelerator, did not show any salary range. Even when clicking through to the company's own job portal, the numbers were still nowhere to be found. This pattern was consistent across several listings.

This raised eyebrows among those who were aware of the new rules. If the law was clear, why were some companies seemingly choosing not to follow it? It felt like a small, quiet rebellion against a rule designed for transparency, creating a puzzling situation for job applicants.

A Look at the Legal

Side of Pay Transparency

The NYC salary transparency law, officially Local Law 32 of 2022, went into effect on November 1,

  1. It applies to all employers with four or more employees, making it quite broad. The law covers internal promotions and transfers too, not just external job postings, ensuring a consistent approach to pay disclosure.

The purpose was clear: to reduce wage gaps, especially for women and people of color, and to promote fair pay practices across the city. Companies are expected to provide a minimum and maximum salary or hourly wage that they honestly believe they would pay for the role. This isn't just a suggestion, it's a requirement with potential penalties for non-compliance, including fines.

Why Companies Might Hold Back

There are several reasons why a company might not want to show salary ranges upfront. One big reason is negotiation power. If a company knows a candidate's current salary, they might offer less, trying to save money. If the candidate knows the full range, they can negotiate better, aiming for the higher end based on their skills and experience.

Another factor could be internal pay structures. Some companies might have employees doing similar jobs but earning very different salaries due to various factors, like when they were hired or their negotiation skills. Making these ranges public could cause issues or resentment among existing staff, forcing companies to address internal pay equity more directly.

"Transparency can be a double-edged sword for businesses. While it builds trust with job seekers, it can also expose internal inconsistencies that companies might prefer to keep private, leading to difficult internal conversations."

The

Impact on Job Seekers

For job seekers, the lack of salary ranges means more guesswork and wasted effort. Imagine spending hours tailoring a resume, writing a cover letter, and going through multiple rounds of interviews, only to find out the pay is far below what you need to live in New York City. This is a common and frustrating experience.

The law was supposed to fix this by giving applicants crucial information upfront. It aimed to save everyone time and emotional energy. When companies skip this step, they put the burden back on the applicants, who then have to decide if they want to pursue a role without knowing its true value. It also makes it harder to compare job offers fairly across different companies.

The Startup Mentality Versus Compliance

The startup world often prides itself on innovation, agility, and moving fast. Sometimes, this culture can lead to a less formal approach to rules and regulations. There might be a perception that some laws are more "guidelines" or that compliance can be delayed while the company focuses on growth.

For early-stage companies, resources can be tight. Legal compliance might not always be the top priority compared to product development, securing funding, or acquiring new customers. However, ignoring clear legal requirements can create bigger problems down the line, affecting a company's reputation, employee morale, and its legal standing, potentially leading to costly lawsuits or penalties.

The

Role of Public Scrutiny and Enforcement

The initial observation of missing salary ranges sparked conversations online and within professional circles. People wondered if the city would enforce the law strictly, especially against well-funded and influential startups. This public discussion itself played a crucial role in bringing attention to the issue.

While specific enforcement actions against these particular companies were not always widely publicized, the discussion highlighted an important point: laws need to be enforced to be effective. The act of calling out non-compliance, even in a small way, puts pressure on companies to do better and adhere to established rules.

What This Story Means for the Future

Over time, many companies did adjust their postings to include the required ranges, suggesting that public awareness and scrutiny can lead to change. The initial reluctance showed that even clear laws can face resistance, especially when they challenge established business practices.

This story shows that even clear laws can face initial resistance. It also shows the power of collective observation. When people notice something isn't right, and they speak up, it can push for better practices and greater accountability. It's a quiet reminder that transparency is a shared responsibility, not just a legal one. The push for fair pay continues, and every piece of information helps level the playing field for all job seekers.

How does this make you feel?

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