Salary History Ban
A salary history ban is a law that prohibits employers from asking job candidates about their previous salary during the hiring process, and in some versions of these laws, also restricts employers from using previously obtained salary history information to determine a new hire's compensation. These laws have been adopted in various states and cities as a measure intended to help address persistent pay inequities that can occur when new compensation offers are anchored to a candidate's prior, potentially underpaid, salary. The rationale behind salary history bans is that relying on past compensation to set new pay can perpetuate existing pay gaps over an individual's career, particularly for groups who have historically experienced systemic pay disparities, since each new job offer built on a prior underpaid salary continues that pattern forward. Instead, these laws generally encourage employers to base compensation offers on the specific requirements and market value of the role itself, rather than what the candidate previously earned. Because salary history bans exist only in certain jurisdictions rather than as a universal requirement, companies recruiting across multiple states or countries need to be aware of where these restrictions apply and adjust their interview and hiring practices accordingly to remain compliant.