Delaware Passes Pay Transparency Law: Implications for Covered Employers

Delaware Governor Matthew Meyer on September 26, 2025 signed into law HB 105, which requires employers with 26 or more employees to include certain compensation and benefit information in job postings. The law will take effect two years after enactment—covered employers should start taking proactive steps to ensure compliance.

By passing HB 105 (the Act), Delaware joins a growing number of states with similar pay transparency requirements, including neighboring New Jersey, Maryland, and Washington, DC.

PAY TRANSPARENCY REQUIREMENTS

If a covered employer announces, posts, or otherwise makes known a job opportunity, HB 105 requires the employer to disclose “the hourly or salary compensation range and a general description of the benefits and other compensation.” The law defines the “hourly or salary compensation range” as “the minimum to maximum pay range for the position, set in good faith by reference to any applicable pay scale, previously determined range for the position, the actual range of others currently holding equivalent positions, or the budgeted amount for the position, as applicable.”

This disclosure requirement applies to both internal and external job postings. If an external or internal posting for the job opportunity has not been made available to an applicant, the employer must provide the required compensation and benefit information “prior to any offer or discussion of compensation and at any time at the applicant’s request.”

If a job is paid on a commission basis, whether in whole or in part, the job notification must disclose that fact and is not required to disclose the compensation or compensation range. If a job is paid on a tipped basis, the job notification must disclose that fact and provide the base wage or range of base wages. For jobs covered by a collective bargaining agreement, the job notification must disclose the compensation or compensation range that has been approved for disclosure under this section in the collective bargaining agreement; however, this requirement applies only to job opportunities covered by a collective bargaining agreement after the agreement is executed, amended, modified, renewed, or replaced after the effective date of the Act.

RECORDKEEPING REQUIREMENTS

Employers must make, keep, and preserve records of job descriptions and the salary and wage rate history of each employee for at least three years and make such records available to the US Department of Labor (DOL) upon request.

ANTI-RETALIATION PROVISION

The law prohibits an employer from discharging or otherwise retaliating against an individual because that individual has exercised their rights under this law, including by making a complaint under the law, providing information to DOL pursuant to the law, or instituting or testifying in proceedings under this law (or intending to do so). The law provides for a civil penalty of not less than $500 and no more than $10,000 for each such discharge or act of retaliation.

COVERAGE UNDER THE LAW

The law applies to employers with 26 or more employees and covers jobs located in Delaware and non-international remote positions offered by Delaware-based employers. The law does not explicitly state whether the 26-employee minimum includes only employees located in Delaware or also those outside of Delaware.

The law defines “employer” as “any person or group of persons acting directly or indirectly in the interest of an employer in relation to an employee or applicant, including the State and any political subdivision or board, department, commission, or school district thereof, and excluding the United States government.” [1]

EXCEPTIONS

Temporary, interim, or acting job opportunities requiring immediate hire are exempt from the law’s compensation and benefit disclosure requirements. That said, the Act provides that DOL may promulgate regulations for temporary, interim, or acting job opportunities that necessitate immediate hire.

Employers are not liable for job postings that are digitally replicated and published without their consent. A third party who posts or reposts a notification regarding a job opportunity is not subject to liability or enforcement under the law.

ENFORCEMENT

The law does not contain a private cause of action. Rather, DOL is responsible for administering and enforcing the law and has the authority to promulgate regulations establishing administrative procedures for enforcement. DOL is charged with investigating suspected violations, adjudicating alleged violations through administrative proceedings, and issuing final orders in writing when imposing penalties.

Employers that violate the law will receive a written warning for the first offense and be subject to civil penalties ranging from $500 to $10,000 for each subsequent offense. An employer’s failure to comply with the law’s disclosure requirements for one job opportunity is considered one violation regardless of the number of times the job opportunity is posted.

NEXT STEPS FOR EMPLOYERS

In advance of the effective date, covered employers should review all public and internal-facing job postings and advertisements to ensure these materials include the required compensation information. Covered employers also should contact any recruiters or third-party agencies that post job opportunities on the employer’s behalf to ensure they are aware of the law and will comply with its requirements.

Employers must prepare to comply with the law by maintaining accurate records consistent with the new requirements.

Finally, multistate employers should confirm the company’s compliance with pay transparency laws in other states and localities.

• Learn more about New Jersey, Maryland, and Washington, DC’s pay transparency requirements.