The District of Columbia has enacted new regulations aimed at promoting pay equity and transparency in the workplace. Effective June 30, 2024, employers in DC will be prohibited from inquiring about an applicant’s wage history and will be required to disclose salary ranges and healthcare benefits information.
The “Wage Transparency for Locally Contracted Workers Emergency Amendment Act of 2023” signed into law on January 1, 2024 by Mayor Muriel Bowser aims to level the playing field for job applicants and prevent perpetuation of gender and racial pay gaps.
What Employers Cannot Do:
Under the new law, employers are prohibited from screening job applicants based on their prior wage history. This means employers cannot:
- Require applicants to meet minimum or maximum prior pay criteria
- Request or require disclosure of wage history during interviews or hiring process
- Seek an applicant’s wage details from their former employer
What Employers Must Do:
- Pay Transparency – For all job listings, descriptions for promotions, or transfer opportunities, employers must provide the minimum and maximum pay the employer reasonably expects to pay for the role. The disclosed pay range should reflect the employer’s legitimate estimate when posting.
- Benefits Disclosure – Before the first job interview, employers must disclose what healthcare benefits may be offered to employees. Applicants can request this information if not provided upfront.
- Notice to Employees – Employers must conspicuously post workplace notices informing employees about their rights under the new law prohibiting wage history screening and requiring pay scale disclosure.
The new regulations are designed to prevent the perpetuation of gender and racial pay gaps that can arise from basing new hire pay on past salary history. By requiring DC employers to provide pay ranges from the outset, it allows applicants to evaluate roles with full transparency into compensation.
Employers have until June 30, 2024 to fully implement practices complying with these new pay transparency requirements for the District.
