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Salary history bans and pay transparency in California and New York

In California and New York, an employer may not ask a candidate for their salary history, directly or through a recruiter, and must put a good-faith pay range in job postings: California from 15 employees (Labor Code § 432.3), New York from 4 (Labor Law § 194-b). Asking about pay expectations remains allowed in both states123.

No federal law bans the salary history question for private employers, but many states and cities do. This guide covers the two states our US courses focus on, with the details recruiters most often get wrong. Other jurisdictions have their own rules: check where the job will be performed.

The salary history ban

California (Labor Code § 432.3) New York (Labor Law § 194-a)
Asking May not seek salary history, orally or in writing, personally or through an agent May not request or require it as a condition of an interview, hire or promotion
Third parties Covered through "agent" May not seek it from current or former employers; agents and recruiters are covered
Using it May not rely on it to decide whether to hire or what to offer May not rely on it to decide whether to hire or what to pay
Volunteered by the candidate May be considered in setting pay, but cannot justify a sex, race or ethnicity pay gap The candidate may disclose it, including to negotiate
Confirming it No specific rule in the Labor Commissioner FAQ Only after a compensated offer, if the candidate cites prior pay to ask for more

Sources: Labor Commissioner FAQ on § 432.31; N.Y. Labor Law § 194-a2.

What to ask instead

Pay expectations are fair game in both states. The cleanest way is to anchor the question on the range:

"The range for this role is $32 to $40 an hour. What are your pay expectations?"

What not to say:

Instead of Why it is a problem Ask
"What were you making at your last job?" Salary history (Cal. Labor Code § 432.3; N.Y. Labor Law § 194-a) "The range for this role is $32 to $40 an hour. What are your pay expectations?"

When the candidate volunteers it

Candidates used to the old question will often offer their current pay. Do not follow up ("Is that base or total?"), and do not anchor the offer on it. In California the law lets you consider a volunteered figure, but never to justify a pay gap between people doing substantially similar work1. Basing the offer on the job's own criteria is the safer habit everywhere.

Pay ranges in job postings

California. Employers with 15 or more employees must include the pay scale in every job posting, including postings by third parties. The pay scale is a good-faith estimate of the salary or hourly range the employer reasonably expects to pay on hire. It must appear in the posting itself: a link or QR code is not enough. Bonuses, tips and benefits do not have to be included; piece-rate or commission ranges do1. On request, employers must also give an applicant the pay scale for the position, and a current employee the pay scale for their own job.

New York. Employers with 4 or more employees, and employment agencies and recruiters, must disclose the compensation or range of compensation in any advertisement for a job, promotion or transfer, plus the job description if one exists. A range is the minimum and maximum the employer believes in good faith to be accurate at the time of posting. The rule covers jobs performed at least partly in New York, and jobs outside the state that report to a supervisor, office or work site in New York3. Commission-only roles may state that pay is commission-based.

Records and penalties

California employers must keep a job title and wage rate history for each employee for the duration of employment plus three years. A person can complain to the Labor Commissioner within one year of learning of a violation, and civil penalties run from $100 to $10,000 per violation1. In New York, § 194-b violations carry civil penalties under Labor Law § 218, and employers may not retaliate against people who exercise these rights3.

Checklist for recruiters

  • Remove "current salary" and "salary history" fields from application forms and applicant tracking systems.
  • Brief agencies and recruiters in writing: they may not collect or pass on salary history.
  • Put the range in the posting itself, not behind a link.
  • Write down what moves a candidate within the range, so the offer rests on the job's criteria.
  • Train interviewers to handle a volunteered salary without anchoring on it.

Hiring without discrimination (US) includes the salary history trap: the AI-simulated candidate may volunteer their pay, and a coach flags any follow-up. It is unofficial awareness training: the completion record shows the course was completed, not that a legal obligation is met. The broader list of questions to avoid is in illegal interview questions.

See the course

FAQ

Can I ask a candidate about salary history in California?

No. Labor Code § 432.3 bars employers from seeking an applicant's salary history, directly or through an agent. You may ask about pay expectations.

Can I ask about salary history in New York?

No. Labor Law § 194-a bars employers from requesting or requiring it as a condition of an interview, offer or promotion, or seeking it from former employers.

Do I have to post a pay range in California?

Yes, if you have 15 or more employees. The pay scale must appear in the posting itself.

Do New York job postings need a salary range?

Yes, for employers with 4 or more employees, for jobs performed at least partly in New York or reporting to a New York location.