Vermont Bars Inquiries into Job Applicants’ Salary and Benefit History
06/06/18
Author: Jody Rodney/Wednesday, June 6, 2018/Categories: Compliance Corner
Overview: Beginning July 1, 2018, employers in Vermont will be prohibited from requiring a prospective employee to disclose salary and benefit history. Employers will also be prohibited from seeking an applicant’s salary history without the applicant’s authorization.
Effective Date: July 1, 2018
Details: Beginning July 1, 2018, employers in Vermont will be prohibited from requiring a prospective employee to disclose salary and benefit history under legislation (H.B. 294), signed by Governor Phil Scott on May 11, 2018.
Prohibited Inquiries
Under the new law (21 V.S.A. §495m), employers are prohibited from:
- Inquiring about or seeking information about a prospective employee’s current or past compensation from the prospective employee or the current or former employer;
- Requiring that a prospective employee’s current or past compensation satisfy minimum or maximum criteria; or
- Determining whether to interview a prospective employee based on his or her current or past compensation.
However, if a prospective employee voluntarily discloses information about his or her current or past compensation, an employer—after making an offer of employment—may seek to confirm or request that the prospective employee confirms this information.
Permitted Inquiries
Employers may inquire about a prospective employee’s salary expectations or requirements or provide information about the wages, benefits, compensation, or salary offered with the position. “Compensation” includes wages, salary, bonuses, benefits, fringe benefits, and equity-based compensation.
Call to Action: Prepare for the effective date by reviewing and, if necessary, modifying your employment applications, interview protocols, and verification policies to exclude inquiries relating to a job applicant’s salary history.
Please contact your Service Team with any questions.