2024 has already shown to be a promising year on the legislative front. Washington, D.C. was the big story this month (more on that below), but we also saw a few states take steps to address their gender pay gaps. Pay transparency laws and salary history bans are two ways that state legislatures are addressing the gender pay gap.
- On January 9, 2024, Virginia proposed SB 370. If passed, Virginia would enact a salary history ban and a pay transparency law. We don’t have any more details yet about what employers could be subject to under these new requirements.
- On January 17, 2024, Arizona proposed HB 2344. If passed, Arizona would enact a salary history ban.
- On January 24, 2024, Maryland proposed SB 0525. If passed, Maryland would enact a salary history ban and a pay transparency law. Employers would be required to post “good faith” salary ranges for roles that must be physically performed in Maryland, report to a supervisor who is physically in Maryland, or report to an office/worksite located in Maryland. Additionally, Maryland proposed three-year record-keeping obligations for job postings.
Payscale will closely be following the progress of these bills.
Washington, D.C.: Land of the free, home of the pay transparency laws
On January 12, 2024, Mayor Muriel Bowser signed Washington, D.C.’s own pay transparency act B25-0194 into law. The Washington, D.C. City Council did not reinvent the wheel; this law is similar to the pay transparency laws already enacted in Colorado, Washington state, California, New York, and Hawaii.
Assuming the United States Congress does not overrule this bill, beginning June 30, 2024, Washington, D.C. employers must include pay ranges in job postings and will be barred from asking candidates about their salary history.
What specifically will Washington, D.C. require? We’ve broken it all down for you:
Who must comply?
Employers with at least one employee working in Washington, D.C. (not including federal or district employees)
What about posting for general remote roles that can be performed anywhere?
The bill is unclear as to the requirements for general remote work. However, if the role could be performed in the district, it is likely that this law will apply
What information must employers include in job postings?
The minimum to maximum salary/hourly pay that the employer, in good faith, believes they’ll pay for a role, which must be disclosed in all job listings and for promotions or transfer opportunities as well.
The existence of any healthcare benefits, which must be disclosed either in the job posting or before the first interview
NOTE: This bill does not require the disclosure of a general description of benefits as is required by Washington state and Colorado.
Are there any other requirements for employers?
Washington, D.C. will join over 20 states and cities in the U.S. in implementing a salary history ban. This means that employers will no longer be permitted to ask candidates about their salary history.
This bill also expands on Washington, D.C.’s wage transparency law, which will ban employers from disciplining employees for talking about their pay/wages.
Employers will also be required to post a notice informing employees of this new law.
What’s next?
The United States Congress will have 30 days to review the bill. If Congress does not overrule this bill, it will become effective on June 30, 2024.
