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ARTICLE · 15 OCTOBER 2025

California Refines Pay Transparency Requirements

Ogletree, Deakins, Nash, Smoak & Stewart
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California Senate Bill (SB) No. 642 amends existing pay transparency laws by extending the statute of limitations for violations to three years, introducing a six-year look-back period for relief, and refining the definition of "pay scale."

United StatesEmployment and HR
Christopher Olmsted
Christopher Olmsted
Charles L. Thompson, IV
Charles L. Thompson, IV
Zachary V. Zagger
Zachary V. Zagger
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On October 8, 2025, California Governor Gavin Newsom signed into law legislation that will set the statute of limitations for civil actions alleging violations of the state's pay transparency requirements at three years, with a six-year "look-back" period to obtain relief for an existing violation. In addition, the legislation defines the "pay scale" that employers must disclose in job postings as a "good faith estimate" and expands the definition of "wages" to include all forms of compensation, including stocks and stock options.

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  • California Senate Bill (SB) No. 642 amends existing pay transparency laws by extending the statute of limitations for violations to three years, introducing a six-year look-back period for relief, and refining the definition of "pay scale."

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