Scenario 4
Inez has worked with The Company for 5 years making $25.00/hr. The Company opens a position in a different division that Inez thinks could be a good opportunity. The new position posts a salary range of $20.00/hr to $30.00/hr. Inez applies and is selected for an interview.
The Hiring Manager is impressed by Inez. Inez has worked at The Company for years and would transition well into this new role, especially because Inez has a good understanding of the unique database that this division uses. No other candidate has these unique skills. The interview goes well and Inez is selected as a finalist.
The Hiring Manager does not know Inez’ hourly wage because Inez works for a different division of the company. The Hiring Manager wants to make a competitive offer above what Inez is currently making.
Question: Could the Hiring Manager ask human resources for Inez’ hourly wage to make sure the offer is more than what Inez is currently making?
No. The Hiring Manager should base the offer on the position’s salary range: Inez’ skills, unique knowledge of this database system, abilities, relevant educational background, market conditions, and then make a fair offer.
Under the Minnesota Human Rights Act, an employer cannot inquire into, consider, or require disclosure from any source the pay history of an applicant for employment for the purposes for determining wages, salary, earnings, benefits, or other compensation for that applicant.
The law applies for all job applicants, including current employees seeking an internal promotion or transfer.
In this scenario, the Hiring Manager may feel like they have good intentions: to give Inez a raise. However, this new law applies regardless of intentions. Inez may have been paid unequally in the past. Locking Inez’ future pay to their past pay only continues that cycle of unequal pay which can impact Inez throughout their life. The new law breaks this cycle.Back to Scenarios