California isn’t the only one limiting salary history requests. New Jersey, Oregon, Colorado, and several more have passed legislation limiting the ability to request previous salary history. Blueline stays on top of the latest regulations and law changes to keep you in compliance, regardless of the state.

Even the federal government is getting in on the salary history train. The Paycheck Fairness Act creates a federal-level ban on salary history. It limits requesting wage history until after the employee has been offered the position and you’ve offered compensation. At this point, the prospect can voluntarily offer you their prior wage history to request higher pay.

It’s EASY to run afoul of the FCRA when running background checks as well, so remember to use the Blueline platform to automatically keep you in compliance through the entire process.

Blueline Services has been staying up to date on these and other changing regulations for years now. Our experience has been keeping you from having to worry about compliance issues, and we will continue to do so. Salary history requests may be going the way of the dinosaurs. That said, we are still going to provide thorough background checks within federal, state, and local guidelines to keep your business running smoothly without any compliance concerns. Check out our complimentary wiki to find more information on Compliance.

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Set to take effect on September 29, 2019, Illinois employers should be aware of the new law’s provisions in order to adjust their hiring practices before this September.

Once effective, Illinois employers will be prohibited from:

-Requesting or requiring wage or salary history from an applicant as a condition of being interviewed, considered for a job, or hired

-Seeking a job applicant’s wage or salary history from any current or former employer. (However, this does not apply if the applicant is a current employee seeking another position within the same organization, or if their salary history is available as a matter of public record)

It is not considered a violation if the applicant voluntarily and without prompting discloses their current or prior salary history, so long as the employer does not consider or rely on this voluntary disclosure as a a factor in determining whether to extend a job offer or in determining that individual’s wages/salary upon hire.

Employers who violate this new salary ban could be liable for covering compensatory damages, recover damages (including special damages up to $10,000), compensatory damages, injunctive relief, along with costs and reasonable attorney fees if an affected worker pressed charges.

“We are declaring that one’s history should not dictate one’s future, that no person should be held back from earning their true value because of how much money they were paid in a previous job,” Pritzker remarked during the bill-signing event.

To see more information and details of the bill, you can view updates of the bill here.

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