The U.S. House of Representatives passed the Paycheck Fairness Act (H.R. 7) in a 242–187 vote recently. If this is signed into law, it will mean that employers across the country will be prohibited from asking salary history.
This is in an ongoing effort to have pay equity. It’s in the effort to balance the pay disparities between men and women and not base salary on past but on the position requirements.
For many years it has been a standard practice to ask for past salary history on employment applications, but this is quickly becoming prohibited. California law specifically prohibits employers from requesting salary history and many other states are adopting this practice.
Maine Governor Janet T. Mills signed legislation entitled “An Act Regarding Pay Equality” to promote pay equality by discouraging employers from basing wages on an employee’s salary history, according to a press release on the Governor’s website.
If you and your company need assistance with job applications and staying within compliance, contact our team to let our experts help you.