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California pay transparency and applicant salary inquiry restrictions

The University is committed to pay equity and pay transparency during the recruitment process. Assembly Bill 168 and Senate Bill 1162 expand pay equity and pay transparency by requiring California employers to disclose pay scales and prohibit the employer from seeking or relying on applicant salary history information in the recruitment process.

These laws further safeguard the right of all persons to obtain and hold employment without discrimination based on specified characteristics or status, and they are intended to address inequity in pay practices based on gender, race, color, religion, sex, national origin, disability, age, protected veteran status, gender identity, or sexual orientation.

Given the University’s institutional values and commitment to diversity and ensuring equal pay, the University has aligned its policies and practices with the provisions in these laws.

Assembly Bill 168 (AB 168)

On October 12, 2017, Governor Brown signed into law Assembly Bill 168, which prohibits employers from inquiring into an applicant’s salary history, effective January 1, 2018. The legislation is intended to address inequity in pay practices based on gender and other protected class designations such as race, age and disability.

The regulations include the following restrictions:

  • Prohibit an employer from relying on salary history information of an applicant for employment as a factor in determining whether to offer employment or what salary to offer
  • Prohibit an employer orally or in writing, personally or through an agent, from seeking salary history information, including compensation and benefits, about an applicant for employment
  • An employer must provide the pay scale for a position to an applicant applying for employment upon request

Senate Bill 1162 (SB 1162)

On Tuesday, September 27, 2022, Governor Newsom signed into law Senate Bill 1162, which requires employers to disclose pay scales on all position postings and to current employees upon request, effective January 1, 2023.

The regulations include the following:

  • Pay scales must be included in all job postings, and information must be provided to third parties who post those jobs
  • A pay scale must also be provided for a current employee’s position at the employee’s request
  • Employers must maintain records of job titles and wage rate histories for the duration of an employee’s employment and three years after termination of employment

Implementation resources for staff (including student) employee positions

For guidance and resources for Faculty and Academic (including student) employees, please contact your location’s Academic Personnel Office.