Westchester County’s Salary History Ban Takes Effect July 9, 2018

Westchester County’s salary history ban, signed on Equal Pay Day in April 2018, took effect on July 9, 2018. The law amends the Westchester County Human Rights Law, and makes it unlawful for an employer, including labor organizations and employment agencies or “agents” thereof, to:

  • rely on the wage history of a prospective employee from any current or former employer in determining wages; and
  • request or require as a condition of being interviewed, as a condition of being considered for an offer of employment, or as a condition of employment, that a prospective employee disclose wage history information.

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Legislative Alert: New Jersey on A Fast Track to Ban Waivers of, and NDAs relating to, Employment Discrimination, Harassment and Retaliation Claims

In the wake of the #MeToo movement, a number of states are considering legislation that would limit an employer’s ability to use non-disclosure agreements (“NDAs”) when settling sexual harassment claims. New York was the first state to enact such legislation, which was passed as part of a wide-ranging budget bill that takes effect July 11, 2018. New York’s law bans non-disclosure provisions in settlements of claims involving sexual harassment allegations, unless confidentiality is the “complainant’s preference,” provided some onerous procedures are complied with. Washington State passed a similar law. Arizona, California, and Pennsylvania are also considering legislation to restrict the use of NDAs.

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Update: Philadelphia Salary History Ban Decision Appealed

As we previously reported, a federal district court in Philadelphia recently struck down the provision of Philadelphia’s salary history ban prohibiting employers from asking about salary history (the “inquiry provision”), but upheld the provision of the law prohibiting employers from relying on such information (the “reliance provision”). The law was initially scheduled to take effect May 23, 2017, but had been stayed by the district court pending resolution of the Philadelphia Chamber of Commerce’s challenge to the law. The Judge’s decision ostensibly resolved the litigation at the district court level, however, both the Chamber of Commerce and the City of Philadelphia have appealed the ruling to the Third Circuit Court of Appeals. The Third Circuit has not yet issued an order staying the reliance provision, which the district court upheld. We therefore caution Philadelphia employers to act as though the reliance provision is in full effect, and to refrain from relying on salary history information in determining employees’ compensation. We will continue to report on the appellate process as it unfolds.

Philadelphia Salary History Ban: Judge Rules that Employers Can Ask About – But Not Use – Prior Salary History

On April 30, 2018, a federal district court issued a long-anticipated ruling on Philadelphia’s salary history ban. The ban, scheduled to take effect May 23, 2017, has two parts: (1) the “Inquiry Provision,” precluding employers from inquiring about a prospective hire’s wage history; and (2) the “Reliance Provision,” prohibiting employers from relying on the wage history of a new employee in determining the employee’s pay, unless the employee “knowingly and willingly disclosed his or her wage history to the employer.”

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