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New Equal Pay Act/SB 1162 FAQs

by Jennifer Shaw | | December 28, 2022

Well, we have a bit of clarification on SB 1162’s new pay scale disclosure requirements.  The Department of Industrial Relations (DIR) updated the existing “California Equal Pay Act” FAQs a few days ago.  You can find them here.

Here are some key take-aways from the revised FAQs:

  1. An employer is covered by the pay scale posting requirement if they have at least 15 employees anywhere in the country, at least one whom is located in California.  (Question 30)  (The DIR directs employers to refer to the FAQs for minimum wage and mandatory sick leave, available here.)
  2. Covered employers must post pay scales if the job is physically located in California or it could be performed remotely from California.  (Question 29)
  3. Employers without a pay scale may post a set range.  (Question 31)
  4. The pay scale must include the base pay, but not necessarily other forms of compensation or fringe benefits (although it appears that piece rate and commission wages may need to be included).  That said, the DIR is fine if you do so for recruiting purposes, and we think it’s a good idea.  (Questions 32 and 33)
  5. “Posting” a pay scale means just that—you cannot refer applicants to a link, for instance.  (Question 34)

Don’t hold your breath for more FAQs, but you never know…

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