Governor Newsom has signed Senate Bill (SB) 1237, significantly increasing the penalties for employers who repeatedly fail to file California’s required pay data reports.
Under the new law, first-time failures remain subject to penalties of up to $100 per employee. But for subsequent failures, the maximum penalty jumps from $200 to $1,000 per employee—a
The California Civil Rights Department (CRD) has released its Reporting Year (RY) 2025 Pay Data Reporting FAQ and Handbook. The statute remains familiar, but the filing mechanics this cycle are not. CRD’s materials emphasize a prescribed file structure, add required data elements, and signal that conformity to the current-year template will be central to
California’s annual pay data reporting submission this year is due on May 13, 2026. Each cycle, the California Civil Rights Department (CRD) typically releases updated guidance for that year’s reporting in early February.
While we await this annual guidance, CRD has already provided preliminary templates for payroll employee and labor contractor pay data reporting
The complexities of California employment law begin not when an employer extends an offer, but as soon as they decide to post a job opening. Employers should ensure compliance with California’s job posting and hiring requirements in 2026.
Pay Scale
California law requires employers with 15 or more employees to include a pay scale in
California’s pay data reporting rules are now more burdensome.
Senate Bill 464, signed into law on October 13, 2025, enhances existing pay reporting requirements to address wage disparities. It introduces strict changes for private employers, effective in 2026 and 2027, including stricter penalties and reporting on new job categories.
Current Reporting Rules
Private employers
California’s pay data reporting requirements were established under Senate Bill (SB) 973, signed into law in 2020. The law mandates that private employers with 100 or more employees, including those hired through labor contractors, must annually report pay and demographic data to the California Civil Rights Department (CRD).
In 2022, Senate Bill (SB) 1162
California’s pay data reporting portal will open on February 1, 2024, and employers will be required to report on three new data points.
Since 2020, California has mandated that employers with at least 100 employees submit a pay data report to the state Civil Rights Department (CRD) as part of its efforts to advance
In 2022, the California legislature passed Senate Bill (SB) 1162, which expanded the state’s existing pay data reporting requirements for “payroll employees” to include a new pay data report for employers with 100 or more “labor contractor employees.” Under SB 1162, the pay data reporting deadline was moved to May. This year these reports
This year, employers in California have updated pay data reports to submit to the state’s Civil Rights Department (CRD). Senate Bill (SB) 1162, passed in 2022, updated previous employee pay data reporting obligations and created an entirely new obligation to pay data reporting related to “employees hired through labor contractors.” This year, these pay