2022 was again a busy year for the California Legislature's enactment of new laws affecting California employers in 2023. Below you will find our annual Employment Law Update.
CALIFORNIA EXPANDS EMPLOYER PAY SCALE DISCLOSURE AND DATA REPORTING REQUIREMENTS
Starting on January 1, 2023, all California employers will be required, upon request, to provide employees and applicants for employment with the “pay scale” for the position in which the individual is either currently employed or to which they are applying. “Pay scale” is defined as the salary or hourly wage range that the employer reasonably expects to pay for the position.
Employers with 15 or more employees will be also required to include the pay scale for a position in any job posting. The law further requires employers to maintain records of a job title and wage rate history for each employee for the duration of the employment and for three years after the end of the employment relationship. Employers who do not comply with this law can be liable for civil penalties up to $10,000 per violation.
SB 1162 also requires all private employers with 100 or more employees (or 100 or more employees hired through labor contractors) to submit a pay data report to the California Civil Rights Department (formerly the Department of Fair Employment and Housing) by the second Wednesday of May each year. This report must include the median and mean hourly rate for each combination of race, ethnicity, and sex within specific job...
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