New pay equity laws are springing up with increasing frequency all over the country. For instance, in 2017, the cities of Philadelphia and San Francisco and the states of California and Delaware passed laws prohibiting employers from inquiring about salary history during hiring. In addition, New York Governor Andrew Cuomo issued executive orders mandating that state agencies no longer use candidates’ current or prior pay in making employment decisions. At least 26 states, including Idaho, Maryland, Rhode Island, Texas, Virginia, and Washington, are currently considering similar legislation. By encouraging employers to determine salary based on factors such as merit, experience, and the market rather than an applicant’s past compensation, such laws are aimed at reducing the gender pay gap.
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