Can a potential employer view my pay? It’s a common practice, but is it legal? Here’s what you need to know about turning over check stubs.
Interviewing for a new job is scary enough – but how do you handle the salary questions? Should you reveal your current salary? Is the new employer even allowed to ask?
Money is a sensitive and confidential issue. You might want to ask: “Why do you want to view my comp?” but are afraid this question could lose you the job offer.
Here’s everything you need to know about navigating the sensitive issue of salaries when you’re looking for a new job.
In general, a new employer should not ask to view your check or stubs from a previous employer. It is typically not relevant to your current job, and such a request could be viewed as an invasion of privacy. However, an employer may ask for proof of your previous salary, such as a W-2 form or a salary history document, as part of the hiring process.
It’s important to note that the laws regarding this issue can vary depending on your location and the specific circumstances of your employment. Some states and cities have laws that restrict employers from asking about salary history altogether, while others allow it in certain circumstances.
Additionally, some industries may have different practices or regulations regarding the sharing of salary information.
In any case, if you have concerns about a potential employer’s request for compensation information, it’s a good idea to consult with a legal professional or human resources representative to better understand your rights and options.
Why Would a New Employer Ask for a Pay Stub?
When you are searching for a new job, one of the most common questions you will be asked is, “What is your current salary?” Many job seekers may feel uncomfortable answering this question, but it is a common practice for employers to ask for a current salary during the hiring process. But why would a new employer ask? There are several reasons why an employer might ask for this information.
Verification of Salary
The most obvious reason why a new employer would ask is to verify the salary you claim to earn. This is especially true if you are applying for a job that requires a certain level of experience or education. In such cases, employers want to ensure that they are offering you a fair salary that matches your level of experience and skills.
If an employer has asked, it is likely that they want to ensure that your current salary is in line with what they are offering for the position. By requesting a pay stub, the employer can verify your current salary and make sure that their offer is competitive.
It also helps to ensure that you are not exaggerating or lying about your salary, which could potentially harm your future employment prospects.
Confirmation of Employment
In addition to verifying your salary, a new employer might also ask to confirm employment. If you are currently employed, your stub will indicate your current employer and the amount of money you earn. This information can be used to confirm that you are currently employed and to ensure that you are not currently under a contract that would prevent you from working for the new employer.
It is important to note that employers typically do not contact your current employer until after an offer of employment has been made. Therefore, requesting a comp history is a discreet way for an employer to confirm your employment status without alerting your current employer that you are searching for a new job.
Assessment of Deductions and Benefits
It also provides a detailed breakdown of the various deductions and benefits that are applied to your salary. These deductions could include taxes, Social Security, and Medicare, among others. By looking at your history, an employer can determine how much money you are actually earning after these deductions have been applied.
This information can be useful to an employer because it can help them determine the total cost of employing you. In addition, if the new employer offers benefits such as health insurance, they can use the info to ensure that the benefits they are offering are comparable to what you are currently receiving.
Employer might ask for a for other reasons. First, they may want to verify your current salary to ensure that their offer is competitive. Second, they may want to confirm that you are currently employed without alerting your current employer.
Finally, they may want to assess the deductions and benefits applied to your salary to determine the total cost of employing you.
It is important to note that providing such information is typically not mandatory, and you are not legally obligated to provide one. However, if you refuse to provide one, it could potentially harm your chances of being hired. If you are uncomfortable providing such info, you can politely ask the employer why they are requesting it and explain your concerns.
Ultimately, it is up to you to decide whether or not to provide it, but understanding why an employer might ask for one can help you make an informed decision.
Should I Start Collecting Your Old Comp History?
Do I Have to Reveal My Salary in a Job Interview?
At some point in the interview process, it’s likely that your prospective new employer will ask about your current salary.
Technically, you have every legal right to refuse to answer that question. You may also have a confidentiality clause in your current employment contract that expressly forbids you to discuss your salary outside of the company.
However, some employers may wonder why you’re not providing your salary and push you for it.
The number one rule here is: do not lie. Even if you’re interviewing for a job way above your current comp grade, don’t lie about it.
You have two options: you can stick by your original response and not tell them. You may have to memorize a few ways to politely but firmly decline to answer. Or, you can tell them the truth.
If your new role has a much higher salary on offer, this is your chance to explain why you feel you deserve such a raise. List examples of additional responsibilities you have taken on, for example, to demonstrate that you’re capable of doing the new job.
If you lie and tell them your salary is the same – or higher – than the one advertised for the new role, you risk being found out. This could result in the retraction of the job offer or dismissal if you have already started to work for them.
What are the compensation transparency laws?
Salary transparency laws vary by jurisdiction. In the United States, employers are generally not allowed to demand comp disclosure from their employees. These laws aim to protect employees’ privacy and prevent potential discrimination based on salary information.
However, employers may still inquire about salary expectations or discuss compensation details during the hiring process. It is important for employees to be aware of their rights and familiarize themselves with the specific regulations applicable in their state or region.
However, some employers may wonder why you’re not providing your salary and push you for it.
Do New Employers Have the Right to View My comp?
A prospective employer, that is, one with whom you have not yet signed a contract with yet, has no legal right to view your history. They are allowed to ask for it but you are allowed to deny them access.
There is an ethical debate about asking for one’s history. On the one hand, it confirms the employment status an interviewee has quoted in their interview and on their CV.
On the other hand, it implies that the new employer has a lack of trust in the individual. If this is the case, why would they hire that person anyway?
Finally, requesting evidence of a previous salary is also a way for budget-minded companies to low-ball their own salary offer to you. It acts as a benchmark for your previous experience and leaves them open to offer a lower salary based upon your current earnings.
Additionally, showing new employers your salary, or telling them your current salary, gives them more bargaining power.
Most HR professionals would understand if you choose to keep your right to privacy and confidentiality of salary status, but those that push may make you question whether you want to work for that company.
What do I need to give my new employer?
As an employee transitioning to a new employer, you may be wondering what documents are required to be provided. It is important to note that while a new employer generally has the right to request certain information, asking to view your comp may be subject to legal limitations.
Specifically, the ability for a new employer to ask for your stubs may vary depending on local laws and regulations. It is advisable to familiarize yourself with the legal requirements in your jurisdiction to determine whether your new employer can request access to your comps.
To ensure compliance and avoid any potential legal issues, consult with an employment lawyer or relevant authorities to obtain accurate information.
What Happens Once I Have Accepted a Job Offer?
If a new employer asks for a previous stub once you have started working for them, you must supply it by law.
The reason for asking may be as innocent as they need the information to create pay stubs. It is unlikely that they want to check your honesty after they have already hired you, but this could also be the case.
If they have asked for your previous check and they see that the salary is different from the one you quoted in the interview they can dismiss you for dishonesty.
Wrapping Up
In conclusion, it is important to understand your rights as an employee when faced with the question of whether a new employer can ask to view your check. While employers may have legitimate reasons for requesting this information, it is crucial to weigh the potential risks and benefits before providing access.
Protecting your privacy and ensuring that you are treated fairly are essential considerations in any employment situation. As a general practice, it is advisable to consult with legal professionals or employment experts to understand the specific laws and regulations in your jurisdiction. Remember, knowledge is power when it comes to safeguarding your personal information and ensuring your rights as an employee.