Columbus, Ohio, is next in line to join a growing nationwide list of salary history bans. Recently, we also covered Minnesota's pay history ban, which took effect earlier this year.
These laws are part of a growing trend to address workplace pay equity and discrimination issues. Columbus will soon join other municipalities in the state, such as Cincinnati and Toledo, that have already implemented certain restrictions.
Guidelines for employers
Effective March 1, 2024, employers hiring in Columbus, Ohio, will face similar restrictions as Cincinnati and Toledo when inquiring about or using an applicant's salary history to make employment decisions. Subject to certain exceptions, the new ordinance prohibits all employers with 15 or more employees from:
- Inquiring about an applicant's salary history, directly or indirectly (e.g., through a third party or an online application form).
- Screening applicants based on their salary history, such as setting a minimum or maximum salary requirement or excluding applicants without salary history.
- Relying solely on an applicant’s salary history in deciding whether to offer employment or make salary, benefits, or other compensation determinations during the hiring process.
- Refusing to hire or otherwise retaliate against applicants for not disclosing their salary history.
An employer may engage in discussions with an applicant about their expectations with respect to salary, benefits, and other compensation, so long as the employer does not inquire about an applicant’s salary history.
Though there are similarities, a few areas in the Columbus, Ohio Salary History Ban differ from similar laws in Cincinnati and Toledo. Notably, it does not require employers to share the pay range with candidates when making a conditional offer of employment.
To learn more, take a closer look at Chapter 2335 here.
Implications for employers in and out of Columbus
The Columbus City Attorney's Office will enforce the new ordinance by investigating complaints and issuing orders to stop violations. Civil penalties include fines up to $1,000 for the first violation, up to $2,500 for violating the law a second time within five years, and $5,000 for a third violation within five years.
A growing number of states and localities have been enacting laws that ban employers from asking about or using salary history information in the hiring process. These laws are intended to protect applicants and reduce pay inequality based on gender, race, and other protected characteristics. Employers hiring in-office and remotely in these areas should consult their legal counsel to ensure their hiring practices comply with this new law. Verified Credentials will attempt to provide updates on current and future salary history ban laws as the situation evolves.
