NYC Pay History Ban Takes Effect October 31

Beginning October 31, 2017, New York City employers are prohibited from questioning job applicants on their salary history, with violators facing civil penalties of up to $250,000.

Earlier this year, New York City Mayor Bill de Blasio signed into law a piece of legislation banning all New York City employers from questioning job applicants on their current or prior salary in an effort to combat wage discrimination and inequity based on payment history.

Effective October 31, employers are prohibited from doing the following:

• Requesting salary information from applicants, whether on an application or at any time during the interview process.
• Questioning an applicant’s current or previous employers about their salary history.
• Conducting a search for publicly available records or reports in order to learn an applicant’s salary history.
• Relying on salary history in determining an applicant’s compensation if they become aware of an applicant’s salary history.

It is not an unlawful practice if an applicant voluntarily and without prompting disclose their salary history. The law also permits an employer to inquire into an applicant’s desired salary or salary range.

The New York City Commission on Human Rights is responsible for enforcing the law and may penalize violators up to $125,000 for an unintentional violation, and up to $250,000 for violations that are the result of willful, wanton, or malicious conduct.

All New York employers (private and public) are encouraged to review all application materials and job postings to ensure compliance by October 31, 2017. All employees involved in the hiring process should also be familiar with the law.