Employers are prohibited from discriminating or retaliating against an employee for disclosing the amount of employees’ wages or salary or information on working conditions to other people. You cannot discharge, discipline or otherwise discriminate against employees who do disclose the amount of their wages or information about working conditions.1 For more information, see “Discussion of Wages or Working Conditions” in Wage and Hour Enforcement and Penalties.
It is unlawful to require an employee to sign a waiver or other document in which the employee agrees to refrain from disclosing wages or working conditions. The law, however, provides protection for an employer’s proprietary information, trade secrets or other privileged information.2
In addition, under California’s Equal Pay Act, employers cannot prohibit employees from disclosing their wages, discussing the wages of others or asking about another employee’s wages.3 However, the Act does not create an obligation on anyone to disclose wages when asked. The Equal Pay Act prohibits employers from terminating, discriminating or retaliating against who engages in protected activity. The law creates a private right of action for retaliation and discrimination. For more information, see Gender Wage Equality.
The National Labor Relations Act also protects the rights of employees to discuss working conditions, such as wages, workplace safety issues or other employment conditions.
1. Lab. Code secs. 232, 232.5
2. Lab. Code sec. 232.5
3. Lab. Code sec. 1197.5