En Banc Ninth Circuit Throws In Its Two Cents Regarding Use of Prior Salary Information To Justify Pay Differentials

Last year, we covered a Ninth Circuit panel decision which concluded that an employer may rely on prior salary information as an affirmative defense to claims under the federal Equal Pay Act (“EPA”) if “it show[s] that the factor ‘effectuate[s] some business policy’ and that the employer ‘use[s] the factor reasonably in light of the employer’s stated purpose as well as other practices.’” An en banc Ninth Circuit has now reversed the panel’s prior opinion. READ MORE

Washington State Overhauls Equal Pay Laws After Seventy Five Years

On March 21, 2018, Washington Governor Jay Inslee signed into law amendments to Washington State’s Equal Pay Act, which had not been updated since 1943.  According to the text of the new law, it seeks “to address income disparities, employer discrimination, and retaliation practices, as well as to reflect the equal status of all workers in the State.”   The amendments constitute a significant overhaul to Washington’s equal pay law, and reflect continued momentum among states to provide statutory protections beyond the federal standard. READ MORE

OFCCP’s New Directive on Predetermination Notices Gives Contractors a Second Chance

Effective February 27, 2018, the Office of Federal Contract Compliance Programs (OFCCP), which is charged with ensuring federal contractors and subcontractors provide equal employment opportunity, issued Directive 2018-01, announcing that predetermination notices (PDNs) will be sent to federal contractors and subcontractors for all audits and compliance reviews where a finding of unlawful employment discrimination is imminent. READ MORE

Iceland Moves to Freeze Out Wage Discrimination

On January 1, 2018, Iceland’s amended Equal Pay Standard took effect, the latest in a serious of measures seeking to address the persistence of national gender wage gaps. The law requires employers with 25 or more employees to obtain a government certification every three years verifying a company’s compliance with equal pay requirements. Failure to attain certification exposes employers to liability of up to nearly $500 in penalties per day. Employers with an observed pay differential can comply by raising the salaries of employees to eliminate the differential. READ MORE

Salary History – To Ask or Not to Ask in Germany?

There is a trend of regulations being put into place prohibiting prospective employers from asking questions about an applicant’s recent or current compensation. “What’s your salary?” has become a no-no in job interviews in several states (including Philadelphia, Massachusetts, Delaware and Oregon). New York City passed legislation in April 2017. California’s Governor just signed a new law making prior salaries a thing of the past. San Francisco has become the latest city to prohibit employers from asking job applicants to disclose their salary history effective July 1, 2018. READ MORE

Mum’s the Word: California Joins the Growing List of Jurisdictions to Restrict Reliance on Prior Salary

California continues to pace the nation in terms of equal pay protections, most recently through Governor Jerry Brown’s signing of Assembly Bill 168 on October 12, 2017.  Effective January 1, 2018, California’s new law prohibits employers from asking job candidates about their prior salary, although it allows employers to consider prior salary information if a job candidate voluntarily discloses it.   California’s law further contains an unprecedented provision that requires employers to disclose to job candidates the “pay scale” for the position at issue if the job candidate requests it.  Governor Brown also signed Assembly Bill 46, which clarifies that the state’s equal pay laws apply to both private and public employers. READ MORE

California Takes One Step Closer to Imposing Reporting Requirements and Public Shaming for Employer Pay Gaps

When we last checked in on AB 1209, the Gender Pay Gap Transparency Act, the proposed legislation was making its way through the California Senate. After making a few key amendments, the Senate passed the bill on September 7, 2017. The California Assembly approved the amendments on September 11, 2017, and now the fate of AB 1209 lies in the hands Governor Jerry Brown. READ MORE

San Francisco Adopts “Parity In Pay” Ordinance And Becomes The Latest City To Ban Employers From Asking About Prior Pay

San Francisco has become the latest city, along with a handful of states, to prohibit both private and public employers from asking job applicants to disclose their salary history.  The “Parity in Pay Ordinance” will take effect July 1, 2018, giving employers a little under a year to make any necessary changes to come into compliance.  The complete text of the ordinance, which will be enforced by the San Francisco Office of Labor Standards Enforcement (“OLSE”) is available here.

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California Legislature Draws Inspiration from UK Pay Gap Reporting Requirements with New Bill

The California legislature is poised to continue its trailblazing streak of equal pay legislation with a new pay gap reporting bill. If approved and signed by Governor Jerry Brown, AB 1209 would add Section 2810.7 to the California Labor Code and require certain large employers to report pay gap statistics on an annual basis beginning in 2019. READ MORE