New Connecticut Law Prohibits Employer Ban on Disclosing Wages

By C. Scott Schwefel

On July 2, 2015, Governor Dannel P. Malloy signed into law Public Act No. 15196, entitled “An Act Concerning Pay Equity and Fairness.” The law, which is effective immediately, now prohibits employers from preventing employees from voluntarily sharing information about their wages and, further, prohibits an employer from requiring an employee to sign a waiver that denies the employee his or her right to share such information. The law does not require any employer or employee to share wage information.

The new law allows a private cause of action against an employer who disciplines an employee for sharing wage information. Employers could be liable for compensatory damages, attorney’s fees and costs, and punitive damages. Any action to enforce the law must be brought within two years of the violation.

Employers should review their policies, employee handbooks, and employment agreements so as to ensure compliance with the new law. If you would like more information regarding the law, please contact Scott Schwefel at (860) 606-1712. You may also contact the Shipman Shaiken & Schwefel, LLC attorney with whom you usually work to discuss a comprehensive approach for complying with state and federal laws and regulations governing your workplace.