The Competition and Markets Authority has supported mandatory pay information in job advertisements in principle, while warning that the design of the rule must avoid weakening competition between employers.
Its response, published on 10 November, addresses the Office for Equality and Opportunity’s consultation on reforming the equal-pay framework. The CMA says greater transparency can improve information for jobseekers, but some forms of shared salary information may make it easier for employers to align pay instead of competing for workers.
The regulator identifies two possible structures: a binding minimum salary, or a range with a binding floor and an indicative upper limit. In its view, either could give applicants useful information while preserving space for negotiation and competitive hiring.
The paper is an advisory submission, not a new employment rule. The government consultation and any later legislation will determine whether employers become legally obliged to publish pay information and, if so, the form that disclosure must take.
