When you are in a job interview, a prospective employer may ask you a range of questions about your education, your experience, and what unique qualities you bring to the position. However, if you are applying for a job in Philadelphia, the person conducting the interview may not ask you how much you made at your previous job. In fact, according to the “Philadelphia Salary History Ban,” it is against the law to ask applicants questions about their past earnings and use that information to pay them less than what they deserve. If an employer asked you to provide information about your salary history during an interview, it is highly recommended that you contact an experienced employment lawyer at your earliest convenience.
What Does the Salary History Ordinance Prohibit?
The Philadelphia Salary History Ban officially went into effect September 1, 2020. The ordinance is part of the city’s Wage and Equity Ordinance, which makes it illegal for an employer, employment agency, or their employees or agents to ask prospective employees about their salary history. In addition, employers are generally prohibited from requiring an applicant to disclose past wages or requiring that information as a condition for being considered for the position. The Salary History Ban prohibits employers in Philadelphia from the following:
- Asking about your salary history. Your salary history includes wages, commission wage supplements, fringe benefits, and other forms of compensation. Employers may not ask you what you made at your previous job, either in person, on a written application, or in an online form.
- Requiring you to disclose your salary history. Employers may not require you to provide your previous salary as a condition for moving forward in the interview process.
- Rely on your salary history. If an employer finds information about what you used to make, they are prohibited from using that information to set your starting salary or decide whether to offer you the position.
The following are examples of questions your employer “may not” ask:
- What was your salary at your last job?
- How much did your previous employer pay you?
- What was your hourly rate?
- How much did you earn in commissions?
- What was your total compensation package?
- Can you provide your salary history from your last three employers?
The following are examples of salary-related questions that your employer “may” ask:
- What salary are you looking for?
- What are your salary expectations?
- Do you have any other offers?
- What compensation package did the other company offer?
- Would you accept a salary of $70,000?
- The position pays between $65,000 and $75,000. Does that range work for you?
Does It Apply to Your Job in Philadelphia?
If you are applying for a position that is located in Philadelphia, the Salary History Ban generally applies, regardless of where the employer is headquartered or where the interview takes place. According to the Philadelphia Commission on Human Relations, the ordinance only applies if the position being considered is located in Philadelphia. This includes remote workers, provided the position is physically based in, or intended to be performed from within the City of Philadelphia. That means that prospective employers may not ask for past salary details if a remote job can or will be performed from a home office located inside the city limits.
How Does the Salary History Ban Help Close Pay Gaps?
The goal of the Salary History Ban is to close pay gaps by preventing employers from basing a new hire’s compensation on past, often lower, salaries. The following are examples of ways that the ordinance reduces pay gaps in Philadelphia:
- It prevents employers from asking about past pay. Employers are prohibited from asking applicants about their current or previous salary during the hiring process.
- It prevents old pay from determining salary. Employers may not rely on applicants’ salary history when determining compensation. They should consider other, more important factors, including responsibilities of the position, the applicant’s skills and experience, as well as salary expectations.
- It helps prevent past discrimination from following workers. If a worker was paid less than similarly qualified co-workers for discriminatory reasons, using their previous salary to determine their new salary can continue the pattern of disparity. The Philadelphia Salary History Ban specifically addresses disparities that affect minorities, including women and people of color.
- It shifts the focus to the new job. The employer is more likely to focus on questions that consider skills, experience, productivity, and salary expectations, rather than asking direct questions about what you made at your previous job.
What if I Voluntarily Shared My Salary History?
While the ordinance prohibits employers from asking about wage history, an employer may rely on salary history that was provided knowingly and willingly by the applicant. For example, if you told an interviewer that you made $60,000 at your previous job, the employer may be permitted to consider that information since it was disclosed voluntarily. When preparing for an interview, be careful about sharing information about your salary history, as this may negatively impact salary negotiations.
If you were well-compensated at your previous job, you want to make sure that you do not take a step backward. If the salary discussed is less than your previous salary, you may want to voluntarily disclose your salary history and make it clear that you are unwilling to accept less than what you were making. Either way, once you share your salary history voluntarily, the employer may take that into consideration when presenting a salary offer.
What Do I Do if My Employer Asks Illegally?
Despite the fact that employers are legally prohibited from asking applicants about their salary history, some employers, hiring managers, or third-party recruiters will ask for that information. Whether it is out of habit or an out-of-state recruiter is not familiar with local Philadelphia laws, this is a violation of the Salary History Ban. Depending on the circumstances, there are a number of ways you can handle this line of questioning professionally and without jeopardizing your chances of being hired. The following are possible scenarios and how best to respond:
- An online job application has a required field that asks for current or past salary. Consider the following responses:
– Enter “N/A” or “0” if the form requires a specific number.
– Look for an option that says “prefer not to answer.”
– Focus on completing the rest of the application accurately. - An interviewer asks you a direct question, either in person or over the phone, about your salary at the previous job. Rather than becoming argumentative, respond in a polite and professional manner. Pivot the conversation back to your experience and expectations with the following responses:
– The soft pivot. Respond by saying that you would prefer to focus on what the position entails and the value you can bring to the job. When addressing salary, say that based on your research and experience, you are looking for a compensation package in the range of X to Y.
– The target pivot. Another option would be to say that your previous employers kept salary information confidential, so you are not at liberty to share that information. You can then share the target salary range you are looking for based on the responsibilities of the position.
– The employer-first pivot. You can also respond by saying you are flexible, depending on the overall benefits package. Ask the interviewer if they would be willing to share the budgeted salary range for the position.
If an employer in Philadelphia insists on asking for your salary history, refuses to consider your application unless you provide it, or uses your past earnings against you after learning them, the following are steps you can take to ensure that your legal and employment rights are protected:
- Document the incident. Save copies of all job postings, emails, application forms, or notes from phone or in-person interviews where the question about your previous salary was asked.
- File a complaint. If the prospective employer asked you to provide your salary history, you can file an official complaint with the Philadelphia Commission on Human Relations (PCHR), which is the local agency responsible for enforcing the city’s anti-discrimination laws and human rights ordinances.
- Seek guidance. The PCHR can investigate your claim and impose fines or other penalties on employers who violated the law.
- Contact an employment lawyer. A highly skilled employment lawyer will assess your claim, determine whether your rights were violated, and recommend the best legal course of action. If you proceed with the claims process, a dedicated employment lawyer will ensure that your claim is filed well before the deadline passes, and pursue the maximum damages to which you are entitled.
Our Seasoned Philadelphia Employment Lawyers at The Gold Law Firm P.C. Represent Clients in Cases Involving Salary History Ban Violations
If a prospective employer asks you to provide information about your salary history during the interview process, do not hesitate to contact our Philadelphia employment lawyers at The Gold Law Firm P.C. We will determine whether your employer violated the Philadelphia Salary History Ban, ensure that your legal rights are protected, and negotiate the best possible settlement outcome. To schedule a free consultation, call us today at 215-569-1999 or submit our online form. With office locations in Philadelphia and Malvern, Pennsylvania, Pennsauken, New Jersey, and New York, New York, we proudly serve clients in the surrounding areas. *NYC, Pennsauken, and Malvern offices are by appointment only.
