LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
FISCAL IMPACT STATEMENT
LS 6040 NOTE PREPARED: Sep 17, 2024
BILL NUMBER: HB 1300 BILL AMENDED:
SUBJECT: Wage History and Wage Range.
FIRST AUTHOR: Rep. Errington BILL STATUS: As Introduced
FIRST SPONSOR:
FUNDS AFFECTED:XGENERAL IMPACT: State & Local
XDEDICATED
FEDERAL
Summary of Legislation: The bill prohibits, with certain exceptions, an employer from relying on the wage
history of an applicant in the hiring process and in determining wages.
It also prohibits an employer from failing or refusing to:
(1) disclose the wage or wage range and a general description of benefits in a posting for a job,
promotion, transfer, or other employment opportunity; and
(2) provide an employee with the current wage or wage range and a general description of the
benefits upon hire, promotion, transfer, and the employee's request.
The bill prohibits an employer from retaliating against an applicant under the wage history provisions and
an applicant or employee under the wage range provisions. It provides that an applicant or employee may
file a complaint alleging a violation with the Department of Labor (DOL), or the DOL on its own may initiate
an investigation and file a complaint alleging a violation. It also sets forth civil penalties for a violation.
The bill requires the DOL to provide a list of employers that have four or more violations to the Office of
the Chief Equity, Inclusion, and Opportunity Officer (office). It requires the office to post the list on the
equity data portal.
Effective Date: July 1, 2025.
Explanation of State Expenditures: DOL: The DOL would experience increased workload and/or
expenditures to collect and investigate claims of wage range and wage inquiry violations and to collect civil
penalties. If employers are largely compliant, and the DOL limits enforcement activities to receiving and
responding to complaints about violations, the agency could likely provide enforcement within current
resources. The bill allows the DOL to initiate investigations. More proactive enforcement or large numbers
of violations may require additional staff and resources. The additional funds and resources required could
be supplied through existing staff and resources currently being used in another program or with new
appropriations. Ultimately, the source of funds and resources required to satisfy the requirements of this bill
will depend on legislative and administrative actions.
HB 1300 1 State Agencies as Employers: This bill has the potential to impact all agencies as employers, thus impacting
all funds that provide operating funds to agency staff.
State agencies as employers could experience increased expenditures if they violate provisions of the bill and
are required to pay civil penalties. State employers may need to change hiring practices to comply with the
bill by providing information on the salary range of a position during the hiring process and avoid inquiring
into prospective employees’ wage history.
Chief Equity, Inclusion, and Opportunity Officer: The DOL will report on violations which will be posted
online by the office of the Chief Equity, Inclusion, and Opportunity Officer.
Explanation of State Revenues: The bill could increase state General Fund revenues if civil penalties are
collected from employers who violate provisions of the bill. Offending employers receive a warning for the
first violation, a civil penalty of $100 for the second violation, and a civil penalty of $500 for the third and
subsequent violations.
Explanation of Local Expenditures: Local units as employers could experience increased expenditures if
they violate provisions of the bill and are required to pay civil penalties. The bill may require local units to
change hiring practices.
Explanation of Local Revenues:
State Agencies Affected: Department of Labor; Office of the Chief Equity, Inclusion, and Opportunity
Officer; state agencies as employers.
Local Agencies Affected: Local units as employers.
Information Sources:
Fiscal Analyst: Camille Tesch, 317-232-5293.
HB 1300 2