Compliance
Good Faith Estimate
An employer's honest and reasonable projection of the salary range or fixed pay rate for a position.
Definition
A 'good faith estimate' refers to an employer's honest and reasonable projection of the minimum and maximum annual salary or hourly compensation for a job at the time of posting. This estimate should be grounded in actual hiring intentions, compensation benchmarks, and objective factors, rather than being a vague or arbitrary figure. The intent is to provide job applicants with a realistic understanding of potential earnings, fostering transparency and preventing misleading disclosures.