Wage or salary history inquiries; prohibited, civil penalty.
Impact
The enactment of SB447 is expected to have a significant effect on state employment regulations, specifically in relation to how salaries are negotiated and offered. The bill sets forth that violations can result in statutory damages between $1,000 and $10,000, in addition to the possibility of legal fees and other reliefs for employees who are unfairly treated in hiring practices. This creates a framework that could incentivize employers to adopt fairer hiring practices while helping to mitigate racial and gender pay gaps by preventing the perpetuation of previous wage disparities.
Summary
SB447, known as the Wage History Inquiry Act, prohibits employers from seeking the wage or salary history of prospective employees in order to promote wage transparency and fairness in the hiring process. The bill includes provisions that prevent employers from considering this history when making salary offers or employment decisions. By establishing clear guidelines for how wage discussions should occur, the bill aims to combat systemic wage discrimination and ensure that salaries are based on the job's requirements rather than a candidate's previous pay.
Sentiment
The sentiment surrounding SB447 has been largely supportive among advocacy groups focused on workplace equality and fair labor practices. Proponents argue that the bill is a necessary step toward closing the wage gap and fostering equitable treatment across various demographic groups. However, there are some concerns voiced by business associations regarding the potential operational complexities and costs associated with compliance. Opponents fear that the bill, while well-intended, might inadvertently limit negotiation strategies by restricting discussions on salary history.
Contention
The main points of contention surrounding SB447 include debates over the implications it could have on employment practices and compensation negotiations. Critics have expressed concerns that the prohibition on salary history inquiries could lead to uncertainty in wage negotiations, potentially disadvantaging some employees. Proponents respond that the focus should be on creating equal pay for equal work, which ultimately benefits the workforce and promotes a more equitable market environment.
Housing: landlord and tenants; reuse of certain tenant screening reports; allow. Amends title & sec. 1 of 1972 PA 348 (MCL 554.601) & adds secs. 1e, 1f, 1g & 1h.