Can My Boss Fire Me for Discussing My Pay? A Short Guide on Wage Transparency Rights in California

In California, employees are protected by labor laws that allow them to openly discuss their compensation. Despite lingering stigma around discussing pay, workers have legal protections that prevent employers from retaliating against them for exercising this right. Wage transparency fosters pay equity and helps combat unfair labor practices, especially discrimination based on gender, race, or ethnicity.

This guide lays out your rights under California and federal law, and provides guidance for employees who might be facing workplace discipline or threats for talking about their pay with coworkers.

The Right to Discuss Wages

Both California and federal law protect your right to discuss pay with your coworkers. Under the California Labor Code Section 232, an employer may not prohibit an employee from disclosing their own wages, discussing the wages of others, or encouraging other employees to exercise their right to disclose and discuss wages.

At the federal level, the National Labor Relations Act (NLRA) protects “concerted activities,” which include the right of most private sector employees to talk about wages, benefits, and other conditions of employment. This applies regardless of whether the workplace is unionized.

If an employer has a workplace policy or rule that prohibits wage discussions, or if sharing pay information results in disciplinary actions, that policy is likely unlawful under both state and federal regulations.

Employer Retaliation Laws

It is illegal for an employer to retaliate against an employee who lawfully discusses wages. Forms of unlawful retaliation include:

• Termination or layoff
• Demotion or pay cut
• Disciplinary actions (e.g., write-ups or suspensions)
• Reduced hours or shifts
• Exclusion from meetings or opportunities because of wage discussions

Under California law, retaliation for discussing pay can result in legal liability for the employer. Employees who are retaliated against may be entitled to reinstatement, back pay, emotional distress damages, and other forms of relief.

Additionally, the California Equal Pay Act protects workers from being disciplined or treated adversely because they inquire about or disclose their own or coworkers’ wages in the context of potential pay disparities based on protected characteristics.

Tips for Employees Facing Threats or Discipline

If you are being threatened, disciplined, or retaliated against for discussing your pay, consider the following steps:

• Document Everything: Keep records of conversations, emails, text messages, disciplinary actions, policies, or meetings related to your wage discussions.
• Review Your Employee Handbook: If your employer has written policies that prohibit wage discussions, those policies may be unlawful under California law.
• Do Not Sign Away Your Rights: Be cautious of signing documents that restrict your right to discuss wages or that attempt to waive your rights under labor laws.
• Contact an Employment Attorney: If you experience retaliation because of a wage-related discussion, you should consult a qualified employment law attorney to evaluate your case and protect your rights.

Miracle Mile Law Group represents employees across California in cases involving wage transparency, retaliation, and workplace discrimination. We can help you understand your legal options and pursue justice if your rights have been violated.