National Pay Transparency Bill Proposed

With states and municipalities across the country enacting pay transparency laws, a bill was recently introduced in Congress that would require disclosure of pay ranges nationwide to address concerns with pay equity. On March 14, 2023, United States Representative Eleanor Holmes Norton (D-DC) introduced the “Salary Transparency Act,” or H.R. 1599, which would amend the Fair Labor Standards Act (FLSA) to require covered employers to disclose the “wage range” for open positions in job postings made publicly and internally.

New York Lawmakers Modify Pay Disclosure Law’s Applicability to Remote Jobs

With the September 17, 2023 effective date for New York’s new pay range disclosure requirements approaching, state lawmakers recently amended the law to clarify the scope of remote jobs to which the law applies and to relieve certain information retention requirements for employers. On March 3, 2023, New York governor Kathy Hochul signed Senate Bill S1326, amending the new pay transparency law that will require employers to disclose minimum and maximum annual salaries or hourly wages in advertisements for jobs, internal promotions, or transfer opportunities.

Equal Pay Day: Addressing Potential Gender-Based Pay Disparities in the Workplace

The U.S. Equal Employment Opportunity Commission (EEOC) has expressed a renewed intention to enforce federal laws prohibiting discrimination in pay amid a reported persistent “pay gap” between women and men in the United States workforce. The effort comes as “Equal Pay Day” is being recognized in the United States on Tuesday, March 14, 2023, a date that is meant to symbolize how far into the next year women reportedly must work to earn what their male counterparts made in the previous year. Given these events, here are some action items that employers may want to consider.

German Federal Labor Court: Employers May No Longer Cite ‘Better Negotiating Skills’ as an Argument for Unequal Pay

A recent decision of the German Federal Labor Court considerably restricts the objective, gender-neutral criteria that can justify different pay for the same work or equal work. Negotiating skills are now ruled out as a justification for a higher salary. However, differences in qualifications or professional experience continue to be recognized as objective criteria that may justify a compensation differential.

Is Pay Transparency and Reporting Coming to Massachusetts?

Massachusetts employers should keep an eye on a flurry of proposed legislation recently filed in both the state House of Representatives and Senate. One bill would impose new pay transparency obligations on Massachusetts employers. Another would require Massachusetts employers to report pay data to state regulators and create reporting obligations that go beyond similar obligations in place in other states.

Albany County, New York’s New Law Requiring Disclosure of Pay Ranges in Job Postings

Employers in Albany County, New York, will soon be required to disclose expected pay ranges in job postings under a new pay transparency law. The law, which is expected to go into effect on March 9, 2023, adds Albany County to the growing list of jurisdictions across New York State with similar pay transparency requirements.

Connecticut Proposes Legislation to Increase Salary Transparency in Job Postings

Connecticut recently proposed legislation (Proposed H.B. No. 5243) that would “require employers to disclose salary ranges in all job postings.” In 2021, Connecticut was one of the first states to enact a pay transparency law requiring employers to disclose to applicants and employees the salary ranges for their positions. The proposed legislation would expand the existing law.

California Labor Agency Posts FAQs Relating to New Pay Scale Posting Requirements

Employers posting jobs to be filled in California must now include a pay range in the posting under new requirements that took effect at the beginning of 2023. Senate Bill (SB) 1162, which was signed by Governor Gavin Newsom in September 2022, seeks to address racial and gender pay disparities by requiring employers to post pay ranges in job postings and expanding employers’ pay data reporting obligations with the California Civil Rights Department (CRD). In December 2022, the California Department of Industrial Relations (DIR) released updated guidance for employers regarding the compliance with the new pay transparency obligations.

California’s New Pay Transparency Law: Pay Data Reporting Obligation Changes for 2023

California recently enacted a landmark pay transparency law that requires employers to disclose pay ranges in job postings, joining a growing number of states and municipalities that impose such requirements aimed at improving pay equity. But beyond the pay scale requirements, Senate Bill (SB) 1162, signed in September 2022 by Governor Gavin Newsom, further broke new ground in expanding pay data reporting processes and requirements for California employers, and thus increasing employers’ compliance burden.

Governor Newsom Signs Bill Imposing Game-Changing Pay Transparency Requirements

On September 27, 2022, California Governor Gavin Newsom signed the state’s pay transparency bill into law, imposing several new and unprecedented requirements on California employers. With the signing of Senate Bill (SB) 1162, effective January 1, 2023, California will join Colorado, Washington, New York City, and other municipalities, in requiring that employers disclose pay ranges in job postings. California will break new ground in also requiring reporting on other demographic and pay information to the state.

Illinois Issues Proposed Regulations in Connection With Equal Pay Registration Certificate Requirements

The Illinois Department of Labor (IDOL) has, at long last, issued proposed rules implementing its equal pay registration certificate requirements. As a reminder, Illinois is setting deadlines for covered employers to apply for certification on a rolling basis. The deadline for the first round of employers to file for certification is just days away.

New York City Council Passes Amended Salary Disclosure Law, Paving the Way for Enactment

On April 28, 2022, the New York City Council passed Int. No. 134-A, which revises Local Law 32, New York City’s previously enacted salary disclosure law. In order to become law, the bill must be signed by New York City Mayor Eric Adams. While the mayor has thirty days to consider the bill, timing is key as the current salary disclosure law is set to take effect on May 15, 2022.

New York City Council Proposes Amendments to Pay Transparency Law

On March 24, 2022, the New York City Council took up a new bill, Int. No. 134, which proposes changes to the local law enacted on January 15, 2022, regarding transparent pay practices. The local law, which is currently set to go into effect on May 15, 2022, makes it an “unlawful discriminatory practice” for employers with four or more employees to post job advertisements, internal promotions, or transfer opportunities without setting forth the anticipated salary ranges.

Washington Employers Required to Disclose Salary Range and Wage Scale in Job Postings Beginning January 1, 2023

On March 30, 2022, Washington Governor Jay Inslee signed into law Senate Bill (SB) 5761, a measure that requires employers to affirmatively disclose in each job posting open to applicants the salary range or wage scale to be offered, as well as a general description of all benefits and other compensation for the position.

NYC Commission on Human Rights Issues Guidance Regarding Minimum and Maximum Salaries in Job Postings

On March 22, 2022, the New York City Commission on Human Rights (NYCCHR) published long-awaited guidance regarding New York City’s salary disclosure law, which requires employers to post the anticipated “minimum and maximum salary” in job advertisements. The law, which was passed on December 15, 2021, and takes effect on May 15, 2022, requires employers to include a “good faith” salary range in any external or internal job posting, as well as promotion or transfer opportunity.

Illinois Equal Pay Act Requirements: Implementation Rules Still Pending as Rolling Registration Deadlines Approach

We had been holding off on publishing an update on the Illinois Equal Pay Act requirements in hopes that the State of Illinois would publish its proposed rules implementing the law. Those rules have not yet come. Accordingly, we are publishing this interim update. When the state announces its rules, we will issue further information.