Q. When is the deadline for submitting annual pay data reports under California law?
A. In 2021, California passed legislation, requiring private employers with 100 or more employees to submit annual pay data reports to the California Department of Fair Employment and Housing (DFEH) under Government Code Section 12999. Companies must comply if they have more than 100 employees, if any of those employees work in California. According to the FAQs, employers need to include reporting data for California employees only, but they may voluntarily choose to include employees working out of state.
This year’s reporting deadline is April 1. The reports must include data on pay and work hours by establishment, job category, race, sex, and ethnicity. Employers must assign employees to one of 10 job categories, ranging from professionals to service workers. The pay data report must cover the prior calendar year (or “reporting year”), plus a snapshot period (i.e., a single pay period of the employer’s choosing between October 1 and December 31 of the reporting year).
The DFEH utilizes an online portal to submit the annual reports, along with templates for reports and other resources. In submitting the report, employers must have an authorized official certify its accuracy and compliance with the DFEH’s instructions. The DFEH may seek an order of compliance if an employer fails to timely comply with these reporting requirements, along with costs associated with seeking the order.
The statute also guards against the publication or disclosure of any individually identifiable information obtained under these reporting requirements by the DFEH and the Division of Labor Standards Enforcement (DLSE).
Troutman Pepper’s Labor + Employment team is available to assist with ensuring compliance with these reporting requirements.