Calif., NY Employment Legislation To Watch In 2nd Half Of ’22

Carol Goodman, co-chair of Herrick's Litigation Department and chair of the firm's Employment Practice, spoke to Law360 about some notable new employment bills and laws in employee-friendly jurisdictions such as New York and California. Last month, New York state lawmakers passed legislation that would require employers to disclose salary ranges on job postings. Carol helps employers to better understand this pay transparency legislation. 

Carol highlights that the city's pay transparency law is part of the New York City Human Rights Law and will apply to any employer with at least four employees. She explains, "While the state's pay transparency bill has yet to be finalized, both the city and state proposals highlight the growing trend in states to promote wage equity, particularly for women and people of color who have historically been underpaid."

Carol cautioned that this law "is not a perfect fix" because some employees, particularly those who are paid at the lower end of the salary range, may believe incorrectly that they're being underpaid for unlawful reasons. She noted that employers are not required to give out information detailing why specific employees receive the wages they get, such as if a worker has an advanced degree. 
 
"Employees don't have all of the information — they may not know the background of their coworker who may have more experience, more seniority, higher education, demonstrated performance, etc.," Carol said. "So, it could really cause unrest between the workforce when somebody sees their compensation posted on the bottom of a range. Maybe will go to HR or make a complaint, but it may very well be that their pay is not illegal, or there's no unlawfulness behind it."

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