Pay Transparency FAQs for Supervisors
Senate Bill 1162 adds new pay transparency requirements for employers in California, including Pepperdine. Effective January 1, 2023, the University must 1) publish a salary range we reasonably expect to pay for each posted open position, including staff, faculty, and student employment roles, 2) provide employees with a salary range for their current position upon request, and 3) submit annual pay data reports to the California Department of Civil Rights.
Human Resources is glad to partner with supervisors across the University to ensure the University is in compliance with these new requirements. Please review Frequently Asked Questions below.
POSTING A PAY RANGE
Human Resources will assign and post a pay range for each staff position on your behalf. No action is required by you, though Human Resources invites any questions and insight you may have.
In the short-term (for a few months), as the community adjusts to these new requirements, the University will operate with minimal disruption to current practices. Existing review processes will continue to ensure each position’s budgeted salary is appropriate and equitable. Generally, the top of the posted range will be the position’s maximum budgeted salary, while the bottom of the posted range will be 10% below the maximum budgeted salary. This reflects existing practices in that supervisors cannot offer a candidate more than the position’s maximum budgeted salary, though they may choose to offer a slightly lower salary based on legally acceptable factors (such as experience, education level, etc.). Exceptions may be made in applicable circumstances, and please contact Human Resources with any questions. Human Resources is working with our trusted outside consultant to refine this process and will keep supervisors informed as the process evolves.
Posted positions that already include a pay range are compliant with the new requirements. No additional action will be taken.
Human Resources remains glad to partner with you on appropriate pay transparency for applicants to your open job. Please contact us at x4397 or email@example.com to discuss additional options.
No. Salary ranges are required not only on Pepperdine’s Jobs webpage, but also on all third-party postings (including Indeed and Linked-In postings, search firm postings, etc.).
Potentially. The University will post a salary range we reasonably expect to pay new hires. Existing employees already hired with a range of skills, relevant education, and experience may have a broader range of pay for their current position. If supervisors receive salary range requests from employees, please refer to the information below and contact Human Resources who can help best prepare supervisors for these conversations.
MAKING AN OFFER
Potentially. While the posted salary range is designed to be helpful to prospective applicants, you must still maintain equitable pay practices in your department, considering what current employees are earning and identifying reasons for varying pay among their team members. As a reminder, pay can legally vary based only on relevant skills, experience, time in the role, and/or education. Please contact Human Resources for questions or guidance.
Potentially. While there is no legal requirement that offers must fall within the posted pay range, you should contact Human Resources in advance of making a verbal offer above or below the posted range to ensure the University maintains equitable pay practices and meets the approved budget. As a reminder, pay can legally vary based on relevant skills, experience, time in role, and/or education.
Just as you have responded to previous candidates’ salary inquiries, you should be prepared to speak to candidates about why a certain salary within a range was offered. All reasons for an offered salary should only include legally acceptable factors, such as relevant skills, experience, time in the role, and/or education. You may also choose to tell candidates about other potential ways the University increases employees’ pay, including annual merit increases and career progression opportunities.
PROVIDING CURRENT EMPLOYEES A PAY RANGE
In the moment when asked, you may tell your employees you will work with Human Resources to provide them a salary range in a timely manner. For consistency across the University, and because Human Resources maintains pay ranges for various levels of work at Pepperdine, we are glad to partner with you on responding to all requests. Please call Human Resources at 310.506.4397 or email firstname.lastname@example.org.
While legal requirements do not specify a timeframe in which we must respond to such inquiries, the University seeks to be responsive to employee inquiries. Please contact Human Resources as soon as your employee inquires about a salary range, and we will partner with you to provide a timely response.
No. The University is required only to provide a salary range to employees who inquire about their own current position. We do not need to disclose the pay range for other positions.
Because employees are legally protected to discuss their own salary with other employees, it is possible for some employees to know what their colleagues earn. Regarding pay equity, the law requires equal pay for equal work. The Equal Pay Act of 1963 and the California Fair Pay Act of 2016 allow for wage rate differences based on the following factors:
- A seniority system (based on tenure or time in the position)
- A merit system (based on performance)
- A nondiscriminatory bona fide factor (such as education, training, or experience)
- Additional considerations (such as shift work, dissimilar working conditions, additional job duties, or additional skills)
Only use and reference the above factors when determining differences in pay for equal
work. Human Resources remains ready to assist you in responding to such inquiries.
No. Not only do employees have a legal right to ask for their position’s salary range, but Pepperdine remains committed to fair and equitable pay practices and communicating such to employees.
The University will post a salary range we reasonably expect to pay new hires. Existing employees who have already been hired with a range of skills, relevant education, and experience will likely have a broader range of pay for their current position.