New York City Bars Employers From Asking Job Applicants About Salary History7/5/2017 | By: Julian S. Brod, Esq. | GDB 2017 Summer Newsletter
New York City has adopted an additional measure, likewise intended to close the gender pay gap, which bars employers from asking job applicants about their salary history.
The new law, which amends the New York City Human Rights Law, contains several significant exceptions. Most importantly, the law permits an employer to rely on an applicant’s salary history if — and only if — the applicant volunteers the information without prompting. The law also permits employers to engage in discussions regarding salary expectations. The law does not apply to applicants for internal transfer.
To comply with the law, and avoid potentially significant liability, including penalties of up to $250,000, employers should, at a minimum, take the following steps:
- Train interviewers not to ask about salary history
- Train interviewers to document when an applicant volunteers information about his or her salary history
- Remove questions about salary history from all materials used in the application process
The law is slated to go into effect this fall. Employers in the New York area should adjust their practices accordingly.