Blogs

INDUSTRY NEWS

Panel Reverses Order Blocking Salary Inquiry Provision for Philadelphia Employers

The Third Circuit lifted an injunction that had frozen a measure to ban Philadelphia employers from inquiring about salary history.

On February 6, 2020, a panel of three judges reversed a district court decision that blocked the salary history inquiry provision of the city's equal pay reform from taking effect. Furthermore, the panel affirmed the district court's decision to not block the law's "reliance" provision which prohibited employers from using a candidate's wage history to establish a new salary.

In April 2018, Eastern District of Pennsylvania Judge Mitchell Goldberg granted a preliminary injunction on the salary inquiry ban provision. In defending this decision, Judge Goldberg stated that the city had not displayed that preventing employers from making inquiries about salary history would support narrowing the wage gap.

In advocating for the block, The Chamber of Commerce of Greater Philadelphia had contested that the law was in violation of the U.S. Constitution as it restricted employers as to what they can say when vetting applicants. The panel determined that the City's rationale behind the restriction was sufficient to justify the law in their reversal decision.

"The city enacted the inquiry provision in an attempt to address this persistent problem and the record is clearly sufficient to withstand this First Amendment challenge to it," stated the panel. Per this conclusion, the panel instructed the lower court to deny the Chamber's injunction bid.

In its reversal, the panel determined that the city possessed sufficient proof that banning salary history questions would assist both women and minorities. This proof included expert testimony from a leading labor economist who demonstrated an academic consensus that women are compensated less than their white, male counterparts and that these discrepancies occur even when evaluating certain criteria such as education and experience. The panel justified the decision further stating that the U.S. Supreme Court had previously "upheld similar restrictions based on much less evidence."

Philadelphia is one of several cities that has enacted salary inquiry laws which prohibit employers from asking applicants about their wage history. Philadelphia employers should invest the time and resources to ensure that all hiring and recruiting policies are compliant with this law.

Posted: February 11, 2020


All Rights Reserved © 2020 Truescreen, Inc.
This document and/or presentation is provided as a service to our customers. Its contents are designed solely for informational purposes, and should not be inferred or understood as legal advice or binding case law, nor shared with any third parties. Persons in need of legal assistance should seek the advice of competent legal counsel. Although care has been taken in preparation of these materials, we cannot guarantee the accuracy, currency or completeness of the information contained within it. Anyone using this information does so at his or her own risk.

Sending...
Thank you for your interest in Business Information Group. We have received your message and will contact you in one business day or less.
Something went wrong.Try again
You have exceeded the number of attempts to submit this form. As a result, your IP address has been temporarily blocked.
Something went wrong.Try again

Get In Touch

Send a Message *fields required

What are your Interests?optional

Even our RFP PROCESS is state-of-the-art.

Find out why
RFP Kit

What Our Clients Are Saying

The service you provide at Truescreen has been the best I have ever seen in comparison to other vendors I have worked with in the past! You guys rock!

Talent Acquisition Specialist
Retail Store Chain

I am very impressed with your company’s customer service, and the Truescreen portal seems to be an intuitive, user-friendly design.

Learning Coordinator
Public College

Our team loves working with Truescreen and the expedient, thorough service and results we get from you.

Human Resources Executive
Large Hotel Chain

I appreciate all your hard work ensuring that individuals are cleared through our processes. Truescreen makes my job so much easier and less stressful.

Human Resources Analyst
Large Academic Institution
Sending...
Thank you for your interest in Truescreen. We have received your message and will contact you within one business day.
Our apologies, there was an error processing your request.  Please resubmit your message or contact us at 888-276-8518.
You have exceeded the number of attempts to submit this form. As a result, your IP address has been temporarily blocked.
Our apologies, there was an error processing your request.  Please resubmit your message or contact us at 888-276-8518.

Get In Touch

Contact Us *fields required

What are your Interests?optional

You are leaving Truescreen.com

Ok, Continue Cancel

×
×