Scenario 5
Inez has worked with The Company for 5 years making $25.00/hr. The Company opens a different position that Inez thinks could be a good opportunity. The new position posts a salary range of $20.00/hr to $30.00/hr. Inez applies and is selected for an interview.
The Hiring Manager is impressed by Inez. Inez has worked at The Company for several years and would transition well into this new role, especially because Inez has a good understanding of the unique database that this division uses. No other candidate has these unique skills. The interview goes well and Inez is selected as a finalist.
The Hiring Manager does not know Inez’ hourly wage because Inez works for a different division. The Hiring Manager wants to make a competitive offer and decides to offer Inez $25.00/hr – the middle of the range.
Inez thanks the Hiring Manager for the offer and lets the hiring manager know that they already make $25.00 an hour in their current position. And, that this office is located further from their home which will increase Inez’ travel costs.
Inez tells the Hiring Manager that they will need to make $28.00/hr to accept this position.
The Hiring Manager now knows Inez’ current hourly wage. The Hiring Manager wants to use that additional information to offer more to Inez because they were a very impressive candidate and the Hiring Manager’s first choice.
Question: Would the employer violate the Minnesota Human Rights Act if the Hiring Manager uses Inez’ current salary to offer them $28.00/hr so Inez accepts the position?
No. The employer would not violate the Minnesota Human Rights Act.
Under the Minnesota Human Rights Act, if an applicant voluntary discloses pay history for the purposes of negotiating wages to a prospective employer, the employer can consider and act on that voluntarily disclosed salary history information to support a wage or salary higher than initially offered.