New Jersey Passes Executive Order #1 Law, Banning Salary History Questions

(Last Updated On: June 18, 2018)

 

Special Announcement to all New Jersey employers:

The state of New Jersey passed a new law called “Executive Order #1”. Governor Phil Murphy signed this order after being sworn in his first day in office on January 16th, 2018. This law will prohibit New Jersey state agencies and offices from asking job applicants for their compensation history or investigating their prior salaries, among other topics, for employment purposes. The law will be in effect on February 1st,  2018.

Furthermore, this order will also combat gender inequality and promote equal pay for women in the state of New Jersey.

This order makes the following directives:

  1. No state entity may inquire into a prospective employee’s wage history, unless and until the entity has made a conditional offer of employment, including an explanation of the overall compensation package to the applicant
  2. No state entity may use any salary history inadvertently discovered while gathering other information about the applicant
  3. Nothing in this Order shall prevent a job applicant from volunteering information about compensation, but an applicant’s refusal to volunteer compensation information shall not be considered in any employment decisions

Additionally, the governor urged the state legislature to send legislation to his desk banning the practice for all employers statewide. This move is following the trend of states and local government prohibiting salary history inquiries.

The complete text of the order can be found here.

 

It is important to note that Justifacts is providing this information as a service to our clients. None of the information contained herein should be construed as legal advice, nor is Justifacts engaged to provide legal advice. We go to great lengths to make sure our information is accurate and useful. We recommend you consult your attorney or legal department if you want assurance that our information, and your interpretation of it, is appropriate to your particular situation.

 

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