Washington, D.C. Pay Transparency: What Household Employers Need to Know

Jan 26, 2024 | Hiring an Employee, Labor Laws, Newsworthy

Under Washington, D.C.’s pay transparency law, household employers will need to provide pay ranges for job postings and inform job applicants of healthcare benefits, while prohibiting employers from seeking information on salary history.

Washington, D.C. Mayor Muriel Bowser recently signed legislation that will require employers with at least one employee in the District – including household employers – to provide pay ranges in all public job postings and inform job applicants of healthcare benefits associated with the position while prohibiting employers from seeking information about a job applicant’s salary history.

The “Wage Transparency Omnibus Amendment Act of 2023,” which amends the Wage Transparency Act of 2014, must undergo a 30-day Congressional review before becoming law. If it is not disapproved during this review, it will become law as of June 30, 2024.

Pay range in job postings

The pay range in a job posting for a household employee must include the minimum and maximum projected hourly pay that an employer, in good faith, believes at the time of the posting they would pay for the advertised job.

The act does not define what qualifies as a “job listing” or “position description advertised” requiring the disclosure of pay ranges. It’s assumed the act would apply to public postings on job boards, social media, and other platforms.

Healthcare benefits disclosure

As for the healthcare benefits disclosure, the law doesn’t define “first interview” or specify what must be disclosed whether a general description would be satisfactory, or if more detailed information should be provided. Healthcare benefits information doesn’t need to be included in the job posting.

Wage history

In limiting the ability to use an applicant’s wage history, the law prohibits household employers from:

Screening prospective employees based on their “wage history”
Requiring that their wage history satisfy minimum or maximum criteria
Requesting or requiring that an applicant disclose their wage history “as a condition of being interviewed or as a condition of continuing to be considered for an offer of employment.”
Seeking the wage history of a “prospective employee from a person who previously employed the individual”

The term “wage history” is defined as “information related to compensation an employee has received from other or previous employment.” The definition of “compensation” includes “all forms of monetary and nonmonetary benefits an employer provides or promises to provide an employee in exchange for the employee’s services to the employer.”

Workplace notice

Household employers will need to post a notice in the workplace notifying employees of their rights under the Wage Transparency Act.

Enforcement

The D.C. Attorney General is empowered to investigate potential violations, issue subpoenas, and enforce the act in D.C. Superior Court. The Attorney General can recover restitution, injunctive, compensatory, or “other authorized relief” for any individual or the public at large, as well as attorneys’ fees if the Attorney General prevails in court.

The Wage Transparency Act provides for civil fines of between $1,000 (first violation) and up to $20,000 (third or subsequent violation).

The act does not create a private right of action.

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