Compliance Stuff

Attention, California employers: You only have until May 14 to report last year’s pay data to the state, and you need a plan of action to comply with this stringent law. As in past years, the California Civil Rights Department (CRD) has updated its detailed FAQs to provide additional guidance to employers, and we’ve combed through it all to come up with a simple four-step plan for you to comply. Quick Background Each year since 2021, California has required large, private employers to report detailed pay data categorized by gender, race, and ethnicity. The state’s pay data reporting requirements, which  stem from a law enacted in 2020 , have been updated and expanded several times (see, for example, key changes made by  lawmakers in 2022  and by the  CRD last year ). What’s New This Year? Submission Deadline:  The deadline for filing your 2024 pay data is  May 14 . Portal Enhancements:  The CRD has refined the reporting portal and Excel templates to im...

  The Compliance Department reported this back in  January .     Inclusion in the pay data report depends on where your staff may live and/or report to work:   If employees/labor contractors telework outside of California but are assigned to a California establishment, they are to be included in the pay data report 1 ;   If employees/labor contractors telework from California and are assigned to an out-of-state establishment, they should be included in the report;   Employees/labor contractors assigned to a California establishment and who work at client sites out of state should be reported;   Employees/labor contractors who live in California but physically work at an establishment outside of CA  do not  need to be included in the report.   1  This includes all employees who work remotely and are not assigned to other locations, and thus are assigned by default to the company’s California HQ. In addition, if the remote w...

  The law requires employers with one hundred or more employees to file annual pay data reports with the California Civil Rights Department. Reports will need to be submitted on or before   May 8, 2024.  Compliance Calendar has been updated with this information.   The amended law obligates covered employers to report median and mean hourly rates within each job category for each combination of race, ethnicity, and sex. It has also added the requirement to report data regarding workers employed through labor contractors.   The California Civil Rights Department is expected to revise templates, FAQ guidance and user guides soon.   Source:  Ogletree Deakins  reported on January 23, 2024.