Washington, D.C., is gearing up for the enforcement of amendments to the DC Wage Transparency Act of 2014 following the recent approval of legislation by Mayor Muriel Bowser on January 12. These amendments, set to become effective on June 30, 2024, upon Congressional approval, introduce significant changes to pay transparency and wage history practices applicable to covered employers.
The Wage Transparency Omnibus Amendment Act of 2023 in Washington, D.C., mandates that covered employers must now disclose pay ranges in all job postings and advertisements. This involves providing the minimum and maximum anticipated salary or hourly pay, with the condition that the employer genuinely believes, in good faith, that they would offer this pay at the time of posting. Furthermore, employers are required to disclose the existence of additional benefits, such as healthcare and bonuses, to potential employees before the initial interview. Although these benefits do not need to be included in the job posting, employers are obligated to communicate them to candidates. Upon request, employers must share pay range and benefit information with prospective employees.
The amendments also expand protections concerning pay history, prohibiting employers from screening potential employees based on wage history. Employers are forbidden from soliciting wage history from a candidate’s prior employer. The term “compensation,” broadly defined to encompass all forms of “monetary and non-monetary benefits” provided to an employee, is now protected. Consequently, employees are free to discuss all aspects of pay and benefits among themselves, and employers may not retaliate against employees making compensation inquiries.
In addition to these provisions, employers are obligated to display a notice in a conspicuous location where employees gather, outlining their rights under the Wage Transparency Omnibus Amendment Act of 2023. Although the specific text of the notice is yet to be published, it is expected to generally include the Act’s provisions regarding the rights to discuss, inquire about, or compare wages without fearing retaliation.
It’s crucial to note that the Act does not grant a private right of action, preventing individuals from filing lawsuits alleging violations. However, the Office of the Attorney General holds the authority to investigate violations, initiate civil actions against violators, and seek remedies for affected individuals or the public. Violations may result in civil fines ranging from $1,000 to $20,000 per occurrence.