California’s Pay Data Reporting: What Employers Need to Know for 2025 Compliance

What Employers Need to Know for 2025 Compliance

Authored by Mark Lobb

Signed into law in 2020 as amended in 2022, California’s pay data reporting requirements mandate private employers with 100 or more employees, including those hired through labor contractors, to annually report pay and demographic data to the California Civil Rights Department (CRD).

Employers are now required to submit their pay data reports annually.  The deadline for the 2025 reporting year is set for May 14, 2025. The report must include:

  1. Employee demographic information consisting of race, ethnicity, and sex.
  2. Pay data categorized by job category and pay band, and
  3. Hours worked for each employee within the reporting year.

The sponsors of the law and amendment indicate this legal requirement is a step toward promoting fair pay practices and by analyzing and reporting pay data, employers can identify, and address potential pay disparities to ensure equal pay for equal work.

The CRD’s pay data reporting portal is open for submitting 2024 reporting data. The CRD has published both a handbook for employers with instructions for submitting and certifying annual reports, along with a Frequently Asked Questions page.

Meet the Author:
Mark Lobb is a founder of the firm and the Managing Partner of Lobb & Plewe. He focuses on matters concerning middle-market companies which are closely held and the owners of such companies.

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What Employers Need to Know for 2025 Compliance

Authored by Mark Lobb

Signed into law in 2020 as amended in 2022, California’s pay data reporting requirements mandate private employers with 100 or more employees, including those hired through labor contractors, to annually report pay and demographic data to the California Civil Rights Department (CRD).

Employers are now required to submit their pay data reports annually.  The deadline for the 2025 reporting year is set for May 14, 2025. The report must include:

  1. Employee demographic information consisting of race, ethnicity, and sex.
  2. Pay data categorized by job category and pay band, and
  3. Hours worked for each employee within the reporting year.

The sponsors of the law and amendment indicate this legal requirement is a step toward promoting fair pay practices and by analyzing and reporting pay data, employers can identify, and address potential pay disparities to ensure equal pay for equal work.

The CRD’s pay data reporting portal is open for submitting 2024 reporting data. The CRD has published both a handbook for employers with instructions for submitting and certifying annual reports, along with a Frequently Asked Questions page.

Meet the Author:
Mark Lobb is a founder of the firm and the Managing Partner of Lobb & Plewe. He focuses on matters concerning middle-market companies which are closely held and the owners of such companies.