Though other aspects of California’s pay data reporting law, SB 1162 (codified in Government Code section 12999), became effective January 1, 2023, one requirement of the new law comes due May 10, 2023.
In addition to pay transparency in job postings, SB 1162 also enhanced existing pay reporting requirements for employers with 100 or more full- or part-time employees. Since 2020, such employers have been required to report to the California Civil Rights Department (CRD, formerly the Department of Fair Employment and Housing) the mean and median pay of employees within each job category by race, ethnicity, and gender. This year, the reports are due on or before May 10, 2023, for reporting year 2022. Reports each year thereafter are due on or before the second Wednesday of May.
Notably, California law also now requires private employers with 100 or more total workers hired through labor contractors in the prior calendar year (with at least one worker based in California) to file a separate “Labor Contractor Employee Report” that covers all workers hired through labor contractors in the prior calendar year. Labor contractors have a duty to provide relevant information to employers for any “individual on a labor contractor’s payroll . . . for whom [the] labor contractor is required to withhold federal Social Security taxes from that individual’s wages, and who performs labor for a client employer within the client employer’s usual course of business.” Importantly, reporting...
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