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A new California law modifies&nbsp;employers' pay disclosure obligations, but its expansion of workers' ability to sue and recover damages for pay discrimination violations may ultimately be the statute's lasting legacy, attorneys say.

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S.B. 642, known as the Pay Equity Enforcement Act, was signed into law on Oct. 8 by Gov. Gavin Newsom and will take effect on Jan. 1. It&nbsp;contains two sections that update separate parts of the California Labor Code: One amends Section 432.3, which houses the state's pay transparency requirements, by refining the definition of "pay scale"&nbsp;for job listing disclosures,&nbsp;and the second revises the state's Equal Pay Act codified in Section 1197.5. "My big-picture takeaway is that I think right now is a really good time for employers to be looking at the compensation package[s] that they're offering to their employees in California,"&nbsp;said Caitlin Sanders, an employer-side partner at Blank Rome LLP. They need to make&nbsp;sure "that people in each job category are being paid consistently across all different forms of compensation that [are] now included in the broad definition [of wages], and make adjustments as necessary on a proactive basis to avoid potential lawsuits."&nbsp;

To read the full article, please click&nbsp;<a href="https://www.law360.com/employment-authority/articles/2400779">here</a>.

"New Calif. Law May Pave Way for More Pay Equity Suits," by Vin Gurrieri was published in&nbsp;<a href="https://www.law360.com/employment-authority/articles/2400779">Law360 Employment Authority</a>&nbsp;on October 20, 2025.

New Calif. Law May Pave Way for More Pay Equity Suits

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New Calif. Law May Pave Way for More Pay Equity Suits

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