Proposed Bill Would Nix Pay Q’s

Sherman & Howard L.L.C.
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Sherman & Howard L.L.C.

A bill introduced last week in the Colorado House of Representatives would make it an unfair employment practice under Colorado’s Antidiscrimination Act (CADA) for an employer to seek earnings history for job applicants.

The prohibition in HB 18-1377 would apply to questions, whether oral or in writing, about past compensation or benefits unless (1) the employer has documentation that it notified the applicant of the wage or salary range for the job opening; or (2) the applicant voluntarily agreed to discuss past salary or benefits.  In other words, unless an applicant agreed to the discussion, the employer would be required to preset a wage or salary range in order to broach the subject with applicants.

By including the prohibition in CADA, an applicant who was improperly asked about pay history would be able to seek damages including lost wages, emotional distress damages, punitive damages and attorney fees.

The Colorado legislative session is set to adjourn May 9, 2018.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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