SECTION 1 (TITLE):
This act shall be known as the Salary History Fairness Act.
SECTION 2 (PURPOSE):
This act amends the Labor Law to establish pay equity by limiting inquiries about salary history.
SECTION 3 (PROVISIONS):
(a) Definitions. (1) “Applicant” means a prospective employee applying for employment. (2) “Compensation” includes monetary wages as well as benefits and other forms of compensation.
(b) It shall be an unlawful employment practice for an employer or an employer’s agent to: (1) Screen applicants based on their compensation histories, including by requiring that an applicant’s prior compensation satisfy minimum or maximum criteria. (2) Seek the compensation history of an applicant from the applicant or a current or former employer for the purpose of setting compensation to be offered to an applicant.
(c) For the purposes of this section, if the employer can demonstrate that the employer’s agent was informed of the requirements of this section and instructed to comply, then the employer is not liable for actions taken by an agent in violation of this section, unless there is a finding of a repeat violation with knowledge of the employer.
(d) Nothing in this section prohibits an employer or an employer’s agent and an applicant from discussing and negotiating compensation expectations provided that the employer or employer’s agent does not request or require the applicant’s compensation history as part of that process.
(e) Nothing in this section prohibits an employer or an employer’s agent from seeking the applicant’s compensation history after an offer of employment with terms of compensation has been extended to the applicant and accepted.
(f) Enforcement. The Department of Labor has the power to enforce this section.
(g) Penalties. (1) Any employer who violates or fails to comply with any requirement of this section shall be deemed in violation of this section and shall be subject to a civil penalty of not less than $1,000 nor more than $5,000 for the first offense and not less than $5,000 nor more than $10,000 for each subsequent violation. (2) For penalty purposes, any actions by an employer or employer's agent that violate the provisions of paragraphs (b)(1) or (b)(2) of this section that pertain to interviewing and hiring for a single position shall constitute a single violation. (3) A civil penalty claim may be filed in any court of competent jurisdiction.