Many studies have shown that the gender pay gap is real and is persisting. There are many ways in which employers can (and do) contribute to this problem. One is by perpetuating old discrimination by basing a new hire’s salary on what he/she was making at his/her previous job(s). This demand for a “salary history” was common for many decades, but is now being eradicated in many places, including New Jersey, which recently banned the practice. If you have suffered discrimination in the form of an improper salary history demand from a potential employer, you should contact a knowledgeable New Jersey employment discrimination attorney about your situation.
Many of these statutes and ordinances banning salary history disclosures are relatively new, and are still facing court challenges. A salary history ban ordinance in Philadelphia just cleared a major hurdle when the Third Circuit Court of Appeals ruled in favor of the city and found the ordinance constitutional. Philadelphia’s “Wage Equity Ordinance” said employers couldn’t inquire about an applicant’s earnings history, couldn’t require disclosure of earnings history and couldn’t retaliate against an applicant for failing to disclose previous earnings.
The Greater Philadelphia Chamber of Commerce sought to prevent enforcement of the ordinance, arguing that banning employers from asking these sorts of questions violated the employers’ free speech rights under the First Amendment to the U.S. Constitution. A federal district judge even agreed with the chamber, concluding that the ordinance represented a free speech violation and barring enforcement of the ordinance.