New York City has released a set of FAQ’s in anticipation of a new local law which will prohibit employers from asking or relying on a candidate's salary history while interviewing and hiring to fill a vacant or newly created position. The NYC law will take effect on October 31, 2017.
Under the new law, it will be generally an unlawful discriminatory practice for an employer to:
- To ask about an applicant's salary history; or
- To rely on an applicant's prior salary history in determining the salary, benefits, or other compensation for a candidate during the hiring process (this includes negotiation of a contract).
What can an employer do?
An employer may engage in discussion with the applicant about his/her expectations with respect to salary, benefits, and other compensation. Keep in mind, the employer should NOT inquire about prior salary history.
Many other cities are/or already have, enacted laws around inquiring about an applicant's salary history. Please check with your internal counsel to determine if and how these new laws may apply to your internal hiring practices and training around these new laws for hiring managers.
Fact sheets for Employers and Applicants can be downloaded by here.
The information provided here does not constitute, nor serve as a substitute for legal advice. Please consult legal counsel to ensure all facts and circumstances are taken into account in complying with applicable state and federal law.