A new law passed by Philadelphia Mayor Jim Kenny that forbids employers from asking possible future employees about their salary histories was thrown out May 31st because the plaintiffs didn’t have proper standing, according to a story in Philly.com.
However, the Chamber of Commerce of Greater Philadelphia has filed leave to amend the complaint which means the suit could be placed back onto the docket, according to attorney Karl Heideck, an attorney who specializes in risk management and compliance services for employers. The City of Philadelphia won’t enforce the bill until the lawsuit has been dismissed, or if the Chamber of Commerce files a successful amended complaint within the next month or so. Critics of the ordinance have called it burdensome and unconstitutional.
What Philly’s New Wage Equity Bill Does
The bill has some noble intentions and its thought that the ordinance could close the wage gap between men and women in Pennsylvania workplaces, according to Heideck’s reading of statements made by the Society for Human Resource Management. The bill itself would prohibit several things including:
Prohibits using any independently acquired job candidate salary data without that individual’s knowledge.
Prohibits directly asking job applicants to share their previous salaries.
Prohibits mandating that potential prospects reveal their salary history.
Prohibits punishing or retaliating against job candidates who decline to disclose salary details.
And there’s a significant fine, or an employer could pay $2000 per instance or violation of the law.
Meanwhile, Karl Heideck argues that employers should prepare to actually abide by the new ordinance if it ever comes into force and should consult a compliance attorney to best navigate the new legal landscape.
About Karl Heideck
Attorney Karl Heideck specializes in risk management and compliance services. Heideck also publishes a WordPress blog called “Inside the Mind of Karl Heideck”.
Karl Heideck, who earned his law degree from James E. Beasley School of Law at Temple University, also has a long and distinguished career as a lawyer. Karl works to serve all Pennsylvanians from his base of operations in Jenkintown, PA.