The California Civil Rights Department released updated FAQs for this year’s report and posted an Excel template. The expanded pay data report is due May 10, 2023.
Previously we reported that California currently requires employers with 100 or more employees to submit annual pay data reports. The new regulations expand these reporting obligations by requiring employers to also provide median and mean hourly rates within each job category, by race, ethnicity, and sex.
The same pay data must be provided in a separate pay data report for employees hired through a labor contractor (i.e., staffing agency) during the prior year. These are employees not on the Company’s payroll, but who are on the labor contractor’s payroll. Many companies anticipate this information will be difficult to obtain.
Senate Bill 1162 states “that a private employer with 100 or more workers hired through labor contractors in the prior calendar year (with at least one worker based in California) must file a separate Labor Contractor Employee Report that covers workers hired through labor contractors in the prior calendar year.”
The bill goes on to require “the employer’s labor contractors to provide necessary data and information to the employer submitting the report, as well as requires the employer to identify their labor contractors.”
