Employment Law Update: Maryland Department of Labor (MDOL) Issues More FAQs on Pay Transparency and Paystub Notice Obligations
Date: November 7, 2024
By:
Randi K. Hyatt
Wage Transparency Requirements. The MDOL has updated its FAQs to clarify the following:
- The law applies only to postings made on or after October 1, 2024, but employers must also comply for any positions first posted before October 1 and then reposted after October 1.
- All solicitations, internal and external, are covered, including newspaper ads, printed flyers, social media posts, emails, or advertisements in any other medium. This applies to postings done by job recruiters or job listing websites such as Indeed, LinkedIn, or Monster.
- The law does not require employers to post all job opportunities or specify how employers must recruit. It only requires the wage transparency information to be included if a position is posted.
- Employers can continue to use a “Help Wanted” or “Now Hiring” sign on a vehicle or building so long as applicants are provided with or can readily access the required information (such as a website address or QR code that links to the required information).
- Employers may email the information to online applicants or hand a document with the information to walk-in applicants.
- Employers may include a link in a posting to all the required wage range and benefits information.
- There is a sample template that employers may choose to use (accessible in the FAQ) and while voluntary, the DOL states: “use of a properly completed template will satisfy the employer’s legal obligation to provide the required disclosures.”
Mandatory Disclosures in Pay Statements. The MDOL has added the following information to its FAQs on the paystub or pay statement notice:
- The law applies to employees governed by a collective bargaining agreement.
- The notice does not need to list the hours worked for salaried exempt employees.
- While the paystub notification law does not require leave balances included on the notice, the Maryland Healthy Working Families Act (aka sick and safe leave (SSL)) requires employers to provide a written statement of each employee’s SSL balance with each paycheck. The best practice would be to include the SSL balance on the notice.
- No notice is required if the employee did not work any hours during the pay period and will not receive any wages, whether paid time off or otherwise. Providing notice for recordkeeping purposes may still be advantageous.
- A third-party payroll processing company must still include the name of the employer on the pay statement (not the payroll processing company).
- In cases involving joint employers or parent-wholly owned subsidiaries, employers should consult legal counsel about which employer name should be listed.
As always, your Whiteford Labor and Employment Law attorneys are available to assist with compliance with these obligations in Maryland, and any other states where they are required.
The information contained here is not intended to provide legal advice or opinion and should not be acted upon without consulting an attorney. Counsel should not be selected based on advertising materials, and we recommend that you conduct further investigation when seeking legal representation.