Employers face new challenges in navigating state and local pay equity laws. New York City joins a number of other jurisdictions that now require employers to disclose pay ranges when advertising job postings – including for incumbents as well as new hires. This law is set to take effect on May 15, 2022 (unless delayed by pending legislation discussed below). The New York City Commission on Human Rights (the “NYCCHR”) recently published a fact sheet providing guidance with regard to Local Law 32 of 2022 (the “NYC Law”). The NYC Law requires all covered employers to include a minimum and a maximum salary in any advertisement for a job, promotion, or transfer opportunity.
As more organizations use artificial intelligence and algorithms to drive decision-making processes, policymakers are beginning to address concerns about these tools — including their lack of transparency and potential for generating unintended bias and discrimination. In our inaugural artificial intelligence briefing, we provide a rundown of recent AI regulatory and legislative developments from across the U.S. that should be top of mind for any organization using AI or algorithms.
Several states and localities have passed laws that seek to address pay inequity, based on gender, race and other protected categories. While the intent behind these laws is similar, the laws impose different obligations. New York City is the latest locality to impose a salary range disclosure requirement on employers. On January 15, 2022, the New York City Human Rights Law (NYCHRL) was amended to prohibit employers with four or more workers (including independent contractors) from advertising a job, promotion or transfer opportunity without stating the minimum and maximum salary for the position. The range may extend from the lowest to the highest salary the employer in good faith believes at the time of the posting it would pay for the advertised job, promotion or transfer opportunity. New York City’s salary range law is effective May 15, 2022.
In an expansion of the Fair Workweek Law, the New York City Council has passed legislation permitting quick-service restaurant employers to terminate employees only for just cause or a bona fide economic reason. These heightened requirements effectively eliminate the at-will status of industry employees and create a discipline structure similar to that bargained for by unionized workforces. With the new protections set to take effect in July, employers should begin drafting and implementing policies to comply with the new laws as soon as practicable.
New York City employers should review their existing drug-testing policies to confirm that they are in compliance with the new law taking effect May 10, 2020 that prohibits them from requiring prospective employees to submit to testing for the presence of marijuana or tetrahydrocannabinols (or THC, the main psychoactive component of marijuana).
New York City is poised to ban employers from requiring prospective employees to undergo a drug test to detect for the presence of THC, the active ingredient in marijuana, as a condition of employment.
On April 9, 2019, the New York City Council approved a bill that would make New York City the first municipality to regulate pre-employment drug testing for marijuana, whether for medicinal or recreational purposes. The bill applies to both public and private employers operating in New York City. Although recreational marijuana is not yet legal in the State of New York (or in New York City), Governor Andrew Cuomo supports statewide legalization and this bill is viewed as an important step to achieve that goal.