Washington D.C. Salary Transparency Law: Complete Employer Guide

What Is the Wage Transparency Omnibus Amendment Act?

The Washington D.C. Wage Transparency Omnibus Amendment Act of 2023, which became effective on June 30, 2024, is one of the most comprehensive salary transparency and pay equity laws in the United States.

The law was created to close the wage gap and increase pay equity. The core of this legislation revolves around a few key mandates:

1. Job posting transparency: You must include the minimum and maximum projected salary or hourly wage in all job postings and advertisements.
2. Salary history ban: Employers cannot screen prospective employees based on their wage history or seek out their wage history from previous employers.
3. Healthcare benefits disclosure: Employers must disclose the existence of healthcare benefits that an employee may receive before the first interview.
4. No retaliation: Employers cannot retaliate against employees who discuss their compensation with others.

This guide goes into the specific requirements for employers to remain compliant with the Washington D.C. salary transparency law.

Who Must Comply?

Important: The threshold of just 1 employee makes this law exceptionally broad. Essentially, any business operating and hiring in the District of Columbia is subject to these rules.

What Must Be Included in Job Postings?

The Wage Transparency Omnibus Amendment Act requires specific information in every job advertisement or posting:

• Pay scale - The lowest and highest salary or hourly wage the employer reasonably believes they will pay for the role.
• Good-faith estimate - This range cannot be open-ended (e.g., "$50,000 and up") and must reflect a genuine estimate of what the employer is willing to pay.

Additionally, while it doesn't need to be in the initial posting text, employers are required to disclose the existence of healthcare benefits before the candidate's first interview.

Example: Compliant vs Non-Compliant

The Salary History Ban

A critical component of the Washington D.C. law is the ban on seeking or using salary history. Specifically, employers cannot:

• Screen prospective employees based on their wage history.
• Require that a prospective employee's prior wages satisfy minimum or maximum criteria.
• Seek the wage history of a candidate from a person who previously employed the individual.

This means your application forms and interview questions must never ask "What are you currently making?" or "What was your previous salary?". Instead, you can ask about their salary expectations.

What About Remote Jobs?

Like many state laws, the application to remote work can be nuanced. If the position is remote but tied to a Washington D.C. office, or if the employer is based in D.C. and hiring remote workers who might perform work within the District, compliance is expected.

If you post a remote job that could be filled by a D.C. resident, including the salary range ensures you are fully compliant. Given the growing patchwork of state laws, the best practice is to include ranges for all remote U.S. roles.

Penalties for Non-Compliance

Enforcement of this law is handled by the D.C. Office of Human Rights (OHR). Penalties can be significant, particularly for repeat offenders.

Unlike some jurisdictions, the D.C. law does not establish a private right of action, meaning employees cannot sue employers directly in civil court for violations of this specific act. Enforcement relies on complaints filed with the Attorney General or the Office of Human Rights.

How to Comply

To ensure your organization is compliant with the Washington D.C. Wage Transparency Omnibus Amendment Act, take these steps:

• Audit your job postings: Review all active job advertisements to ensure a good-faith salary range is included.
• Train hiring teams: Ensure recruiters and hiring managers understand the salary history ban. They must never ask about past compensation.
• Update forms: Remove any salary history inquiries from your employment applications and background check authorizations.
• Prepare benefits disclosures: Have documentation ready to disclose the existence of healthcare benefits before the first interview for any role.