Salary history bans attempt to end pay discrimination. Different jurisdictions have outlawed pay history questions in one form or another. There have been 11 state-wide bans and 9 local bans. It’s the law and we want to help you avoid the penalties. Below is a list of the jurisdictions with a salary history ban.

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This development continues to follow the trend of the pay-equity movement taking place in cities and states nationwide.   As we’ve suggested in the past, because there is a new national focus on prior salary history information, employers should be mindful of these new restrictions and evaluate how new legislation may impact them.  For additional information, please contact NCS.

Employment counsel should be consulted. Information including sample documents should NOT be construed as legal advice, guidance or counsel. It is for educational purposes only. Employers should consult their own attorney about their compliance responsibilities under the FCRA and applicable state and local laws. National Credit and Screening Co., LLC expressly disclaims any warranties or responsibility or damages associated with or arising out of information provided.

As we reported in November 2017, on January 1, 2018 the California Salary History Disclosure law went into effect. California joins Delaware, Puerto Rico, Oregon, Massachusetts, New York counties of Albany and Westchester, New York City, Philadelphia (pending legal challenge), and its own city of San Francisco, in prohibiting employers from asking job applicants for salary history information. Also, effective July 1, 2018, Vermont, and effective January 1, 2019, Connecticut and Hawaii, passed their respective laws prohibiting employers from obtaining and using past salary history.  Finally, please be aware that many city and state offices and agencies cannot ask about past salary history.

The new California law also makes California the first jurisdiction in the country to require that employers provide applicants with the pay scale for a position, upon “reasonable request.”

This development follows the trend of the pay-equity movement taking place in cities and states nationwide.   As we’ve suggested in the past, because there is a new national focus on prior salary history information, employers should be mindful of these new restrictions and evaluate how new legislation may impact them.

Employment counsel should be consulted. Information including sample documents should NOT be construed as legal advice, guidance or counsel.  Employers should consult their own attorney about their compliance responsibilities under the FCRA and applicable state and local laws.  National Credit and Screening Co., LLC expressly disclaims any warranties or responsibility or damages associated with or arising out of information provided.

The new California law also makes California the first jurisdiction in the country to require that employers provide applicants with the pay scale for a position, upon “reasonable request.”

This development follows the trend of the pay-equity movement taking place in cities and states nationwide. Given the new national focus on prior salary history information, employers must be mindful of your state’s restrictions and evaluate how new legislation may impact them.

Employers must know the laws in each and every jurisdiction where they do business, where their applicants and employees reside and even where they are interviewed. Visit your your state’s employment commission website for additional resources.

Employment counsel should be consulted. Information including sample documents should NOT be construed as legal advice, guidance or counsel.  Employers should consult their own attorney about their compliance responsibilities under the FCRA and applicable state and local laws.  National Credit and Screening Co., LLC expressly disclaims any warranties or responsibility, or damages associated with or arising out of information provided.

It remains to be seen whether the New York City law will face the same legal challenges as its Philadelphia counterpart. Last month, the Chamber of Commerce for Greater Philadelphia filed a federal lawsuit against Philadelphia’s pay equity Ordinance, which similarly prohibits inquiries into salary history. See our A QUICK MEMO… dated April 27, 2017.

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With the impending city and state law bans not only in NYC and Philadelphia, and but also in Massachusetts and Puerto Rico that will forbid or limit an employer’s inquiry into prior salary, the California Fair Pay Act prohibition on using prior salary as the sole justification for pay differences,and even splits within the federal Circuits on the use of prior salary, all employers who consider prior salary in setting initial compensation—not just those with operations in NYC—are wise to carefully consider the above and consult legal counsel as they approach what to pay.

Employment counsel should be consulted. Information including sample documents should NOT be construed as legal advice, guidance or counsel. Employers should consult their own attorney about their compliance responsibilities under the FCRA and applicable state and local laws.  National Credit and Screening Co., LLC expressly disclaims any warranties or responsibility or damages associated with or arising out of information provided.