On September 27, 2022, California Governor Gavin Newsom signed SB 1162, which requires employers with more than 15 employees to disclose pay scales to current employees and on job postings beginning January 1, 2023. The bill also requires private employers with more than 100 employees to submit significantly more pay data to the California Civil Rights Department (CRD, formerly known as the DFEH) beginning in May 2023.
Pay Scale Disclosure Requirements
With SB 1162, California joins Colorado, Washington, and New York City in requiring employers with more than 15 employees to disclose the pay scale for a position in any job posting. “Pay scale” means the salary or hourly wage range that an employer reasonably expects to pay for the position. The bill does not specify how or if this requirement applies to postings for remote jobs that may or may not be performed in California. We expect the CRD to issue additional guidance on this and other key issues in the coming months.