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Legislators in Oregon are considering a bill that would prevent employers from asking about an applicant’s salary or criminal history.

About House Bill 2746

Oregon’s House Bill 2746 (HB2746) is a proposed law that seeks to cover two separate topics. It would create requirements regarding pay transparency and prohibit employers from discriminating against applicants because they have any type of criminal record.

Wages

An existing law in Oregon prohibits employers from asking job applicants about their current wages, which is often done to help hiring managers determine what salary or benefits they will offer. HB2746 maintains these requirements and extends them to employment agencies. It creates additional requirements for employment agencies to:

• Include the wage range, benefits and other compensation on job postings.
• Disclose compensation details to individuals who might transfer or be promoted.
• Retain wage and benefits data for two years post-employment.

Criminal Inquiries

HB2746 also covers Fair Chance Hiring components. The bill would require employers to complete an initial interview or extend a conditional job offer before they may look into whether the person has any criminal records. This applies to employers and employment agencies.

There are certain exemptions listed in the bill. Employers would not be subject to it if:

• They must comply with federal, state or local laws.
• They are a law enforcement agency or part of a criminal justice system.
• They are bringing on a volunteer and not an employee.
• They are an employment agency that serves an exempt employer.

What Employers Should Know

Employers in Oregon should be aware of this proposed bill and know that they should be prepared for compliance if it is signed into law. If it is, then affected employers and employment agencies must adhere to the salary disclosure requirements and regulations regarding inquiries into a job seeker's criminal history.

Organizations everywhere should be aware of laws that are in effect anywhere they operate. These laws differ by location, but there are some best practices everyone can follow, such as:

• Do not ask applicants about their criminal history until after it is otherwise determined that they are eligible for employment.
• Offer comparable wages to people who do comparable work under comparable conditions.
• If a background check shows that a candidate has criminal records, each one should be individually assessed to ascertain whether it might warrant an adverse action.
• It can be beneficial to include information about wages and other compensation in job descriptions and related materials.

Running Employment Background Checks

There are numerous second chance laws that are intended to help people with criminal histories find new employment opportunities and re-enter society. In every case, comprehensive background checks are strongly encouraged. These reports help hiring managers make informed decisions, reduce risks and conduct due diligence.

If you represent an organization that needs employment background checks, please contact us. Our friendly and highly trained team can help you customize screening packages based on your specific needs, relevant laws and industry best practices. We are available to assist you Monday through Friday from 5am to 6pm PT.