California’s new pay data reporting law, SB 1162, requires staffing agencies to submit payroll employee reports that include pay information categorized by employee race, ethnicity, and sex. The law also requires certain staffing agency clients to submit separate labor contractor employee reports with the same pay data information for employees provided to the clients by staffing agencies.
Because staffing agencies have not historically maintained race and ethnicity data for their employees, California’s Civil Rights Division—at the urging of ASA—is allowing “unknown” to be reported for staffing agency employees. This exception, which only applies for the 2022 reporting year, applies to both staffing agency payroll employee reports and client labor contractor employee reports. Clients can report “unknown” on labor contractor employee reports using the template report that is available for download on CRD’s website. Staffing agencies can report “unknown” on a special staffing agency payroll employee report that is available for download here. A copy of the staffing agency payroll employee report can also be obtained by emailing firstname.lastname@example.org. Note that the “unknown” category can be selected only where that information is in fact unknown and not reasonably obtainable before the filing deadline.
Additionally, on Feb. 2 ASA hosted an exclusive webinar with Adam Romero, deputy director of executive programs for CRD, on SB 1162. Although the webinar was not recorded, slides from Romero’s presentation are now available for download on CRD’s website.