New California Law Prohibits Asking About Salary History


On October 12, 2017, Governor Jerry Brown of California signed into law a state-wide ban on employer inquiries into an individual’s salary history. The new law, AB 168, prohibits employers from inquiring about an applicant’s past salary history. Employers are also prohibited from seeking past salary information when determining a proposed new-hire salary. Employers must also provide employee position pay scales when requested. Nevertheless, if an applicant voluntarily provides this information to an employer, the employer may rely on it when considering a potential salary to offer. The new law will apply to all employers, including state and local governments, and will take effect on January 1, 2018. The goal of the new bill is to narrow the gender wage gap between men and women. For example, women who are paid less the men may continue to suffer unequal pay if their new salary is based on their prior salary history. Employers should focus on an applicant’s qualifications and their internal pay scales when deciding which candidate is a good fit for a position. Employers should also view their job application forms to make sure they are not directly soliciting salary information.

 


About Cabada & Hameed LLP

Cabada & Hameed LLP is a law firm serving the greater Southern California region. Formed by “big firm” veterans in 2009, the firm offers exceptional legal representation with experienced attorneys handling matters encompassing Labor & Employment and Business Law and Litigation. Cabada & Hameed LLP is certified as a Minority Owned Business (MBE) by the California Public Utilities Commission’s Supplier Clearinghouse and is a member of the California Minority Counsel Program. Partners and co-founders Francisco Cabada and Sayema Hameed bring over a decade of legal training and experience to every matter and ensure that clients receive individualized support and counsel, around-the-clock availability, the utmost discretion and maintenance of the highest professional and ethical standards. For more information, please visit the website www.cabadahameed.com.


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