Employers Prohibited From Relying On Salary History In Making Hiring Decisions
- On 27 October 2017
- Posted by Chantal Mariotti
It’s the law! As of January 1st, 2018, California employers will be prohibited from relying on salary history when determining whether or not to make a job offer, or in determining any salary offer to a new hire. This new law, labeled AB 168, was signed into law by California Governor Jerry Brown on October 12, 2017.
The new law prohibits employers from seeking salary history information about an applicant. The employer must also, upon receiving a “reasonable request” from an applicant, provide the applicant with a pay scale for the position for which they’re applying.
AB 168 does allow applicants to voluntarily disclose their salary history. And should an applicant submit their information voluntarily, the employer may then use the provided salary history information in making job hiring and salary determinations. The bill only prevents employers from requesting, or requiring, such information from applicants.
Review your hiring process for 2018! Double check that your company’s recruiting process, including your job applications, candidate screening & interview procedures do not include any request for salary history information. ECG can review your hiring procedures for you, making sure you are up to date and in compliance with all new and current regulations being handed down from Sacramento.