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Large employers are now required to provide demographic pay data to the California Department of Fair Employment and Housing (DFEH) by March 31, 2021. SB 973 requires private employers of 100 or more employees, that are also required to file the federal EEO-1 report with the Equal Employment Opportunity Commission (EEOC), to report demographic and pay data information to the DFEH.

The reporting year will be the year preceding the due date for the report and should include a “snapshot” of the workforce for any single pay period of the employer’s choice between October 1 and December 31 of the reporting year.

Employers must report the number of employees by race, ethnicity and sex whose annual earnings fall within each of the 12 pay bands and seven race/ethnicity categories.

What must be included in the report?

SB 973 requires that the pay data report include:

  1. The number of employees by race, ethnicity, and sex in each of the following job categories:
  2. Executive or senior level officials and managers.
  3. First or mid-level officials and managers.
  4. Professionals.
  5. Technicians.
  6. Sales workers.
  7. Administrative support workers.
  8. Craft workers.
  9. Operatives.
  10. Laborers and helpers.
  11. Service workers.
  12. The number of employees by race, ethnicity, and sex, whose annual earnings fall within each of the pay bands used by the United States Bureau of Labor Statistics in the Occupational Employment Statistics survey.

Pay Bands

  • $19,239 and under
  • $19,240 – $24,439
  • $24,440 – $30,679
  • $30,680 – $38,999
  • $39,000 – $49,919
  • $49,920 – $62,919
  • $62,920 – $80,079
  • $80,080 – $101,919
  • $101,920 – $128,959
  • $128,960 – $163,799
  • $163,800 – $207,999
  • $208,000 and over

Race and Ethnicity

  • Hispanic/Latino
  • Non-Hispanic/Latino White
  • Non-Hispanic/Latino Black or African American
  • Non-Hispanic/Latino Native Hawaiian or Other Pacific Islander
  • Non-Hispanic/Latino Asian
  • Non-Hispanic/Latino American Indian or Alaskan Native
  • Non-Hispanic/Latino Two or More Races
  • The total number of hours worked by each employee counted in each pay band during the “Reporting Year.”
  • The employer’s North American Industry Classification System (NAICS) code.
  • Employers may, but are not required to, provide clarifying remarks concerning the information in the report.

The DFEH counts the total number of employees on the employer’s payroll toward the 100-employee (at least one employee in California) reporting threshold. DFEH is allowing a 30-day extension for employers who have been impacted by the COVID-19 pandemic. Deferral requests can be filed online using DFEH’s online form. Employers can submit their reports on the DFEH website.

If you have questions regarding the new reporting requirement or other employment law questions, please call us today!

By: Ted Schneider, Esq.  

About the Author
Theodore J. Schneider practices in the areas of business and corporate transactions, employment law counseling, municipal and public law, real estate and land use, and homeowner associations. Ted began his legal career in 2002 when he joined the Los Angeles office of Gibson, Dunn & Crutcher, L.L.P. before relocating to Ventura County to join his father in practice.