New California Law Will Set Groundbreaking Pay Transparency & Reporting Requirements

Effective January 1, 2023, California SB 1162 will impose new requirements on companies with employees in the state, according to HCAOA partner Littler. SB 1162 builds on current pay reporting requirements for large employers by imposing mean and median pay reporting mandates.
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​By May 10, 2023, employers with 100 or more employees, and at least one employee who works out of California, must file an annual California pay data report. The reporting parameters have been amended to include additional categories of data, broken down by race, ethnicity and gender.

The law also requires covered employers to include pay scale information in job postings, provide pay scales to current employees upon request, and retain documentation relating to all employees’ pay scales for each job held during employment. Learn more from Littler here.