Salary History Ban in Michigan: What Employers Can Ask

Michigan state law does not contain a statewide prohibition on salary history inquiries. The Michigan Elliott-Larsen Civil Rights Act (MCL 37.2101 et seq.) prohibits discrimination based on race, color, religion, sex, national origin, marital status, and other protected categories, but it does not address the salary history inquiry practice specifically. Unlike California (Cal. Lab. Code § 432.3), New York (NY Gen. Bus. Law § 740), and Massachusetts (Mass. Gen. Laws c. 149, § 24L), which have statewide bans on salary history questions, Michigan has chosen not to enact a statewide prohibition. This means that under Michigan state law alone, employers have broad discretion to request and consider prior salary information when making hiring and compensation decisions. However, the landscape is more complex because Michigan has granted home rule authority to local municipalities, allowing cities and counties to enact their own employment protections.

Several Michigan cities have exercised this authority to ban salary history inquiries. Detroit (Detroit City Code § 18-11-5) prohibits employers from inquiring about prior salary in most contexts. Kalamazoo (Kalamazoo Ordinance § 8-217) similarly restricts salary history questions. Grand Rapids (Grand Rapids City Code § 9-46) has enacted a local ban. These local ordinances typically apply to employers with a certain number of employees (often 15 or more) and apply to job postings, applications, and discussions with job candidates. Employees covered by these local ordinances have stronger protections than those in non-covered Michigan jurisdictions. State law does not preempt these local bans; employers must comply with the most protective rule that applies to their location and workforce.

Michigan state law contains no salary history exceptions because there is no statewide ban. Under federal law, employers may ask about salary history without legal consequence, though EEOC may examine the practice in discrimination investigations. Exceptions to local bans in Detroit, Kalamazoo, and Grand Rapids typically include: (1) inquiries made after a conditional offer of employment, once the employer has already determined the position and compensation package independently; (2) inquiries into wages and compensation earned during a current or immediately preceding role when the applicant is applying for a similar position at the same company or a related position; (3) disclosures volunteered by the applicant without employer solicitation; (4) inquiries mandated by background check companies or third parties, where the employer does not directly ask but receives the information; (5) public employee salary information already on the public record; (6) inquiries required by federal, state, or local law.

Small employers below the threshold (typically under 15 employees) in covered municipalities are generally not subject to the local salary history ban. Employers operating statewide but headquartered outside Michigan cities with bans may not be covered if they do not have employees in those cities. Additionally, the ban typically does not restrict the employer's ability to verify salary information that a candidate volunteered or to conduct reference checks that incidentally reveal compensation. Union employees covered by collective bargaining agreements may have different protections depending on the contract language. At-will employment doctrine in Michigan allows at-will termination but does not override anti-discrimination statutes or local ordinances.

Step 1 — Document Everything: Keep detailed records of all communications with the employer, including job postings, application materials, email exchanges, and notes from phone calls or interviews. Record the date and time of any salary history inquiry, who asked it, in what format (verbal, written, application form), and whether you answered. Save the job posting to show whether the posting explicitly asked for salary history or included a statement that salary history would not be considered. Document your job title, employer name, location (city and state), and employer size (to establish whether the employer likely meets the 15-employee threshold if in a covered city). This documentation is critical if a violation occurred.

Step 2 — Determine Your Jurisdiction: Check whether your employer is located in or has significant operations in a Michigan city with a salary history ban (Detroit, Kalamazoo, Grand Rapids, or other covered municipalities). If you work remotely but the employer is headquartered in one of these cities, or if the hiring or employment decisions are made there, the ban likely applies. If you work in a Michigan city without a ban or in a rural area, state law does not prohibit the inquiry, and you would need to pursue a claim only if the salary history question was part of a larger pattern of discrimination based on a protected characteristic (race, gender, age, disability, etc.). Contact your city clerk's office if unsure whether your city has enacted a salary history ban.

Step 3 — File a Complaint: If you believe a violation occurred under a local ordinance (e.g., Detroit), file a charge with the appropriate enforcement agency. In Detroit, complaints are typically filed with the Detroit Department of Civil Rights (address: 2 Woodward Avenue, Suite 808, Detroit, MI 48202; phone: 313-628-2451; website: detroitmi.gov/departments/civil-rights-department). You must file within a specific deadline, typically 300 days from the alleged violation, though this may vary by ordinance. Provide a detailed written statement describing the job position, the date of the inquiry, the substance of the salary history question, how you believe it affected your hiring decision or compensation, and any damages (lost wages, emotional distress). Attach copies of the job posting, email communications, and any other evidence. If the local ordinance does not apply, and you suspect the salary history question was part of discrimination under the Michigan Elliott-Larsen Act or Title VII, file a charge with the Michigan Department of Civil Rights (MDCR) at 110 W. Michigan Avenue, Suite 1200, Lansing, MI 48913, or online at michigan.gov/mdcr (phone: 517-335-3165). You may also file with the EEOC if federal law is implicated (EEOC Detroit Field Office: 477 Michigan Avenue, Suite 2000, Detroit, MI 48226; phone: 1-800-669-4000; website: eeoc.gov).

Step 4 — Expect the Investigation Process: After you file, the agency will typically send the employer a notice of the complaint and a request for a response. The investigation phase usually takes 60 to 90 days but can extend longer if witnesses must be interviewed or documents are voluminous. The investigator will request the job posting, application materials, interview notes, hiring decision documentation, and communications with you and other candidates. The employer will likely argue that the salary history inquiry did not result in a discriminatory outcome, or that they did not use your prior salary to set your compensation. You may be asked to participate in an interview with the investigator and to clarify your damages claim. If the agency finds reasonable cause that the ordinance was violated, the case may be referred to mediation or formal hearing. This process can take 6 to 12 months from filing to resolution.

Step 5 — Consult an Attorney: Consider contacting an employment law attorney before or immediately after filing if you believe damages are substantial (e.g., lost wages, lost promotion), if your employer is retaliating for complaining, or if the facts suggest the salary history question is part of a broader pattern of discrimination. An attorney can help you assess whether your jurisdiction's ordinance applies, evaluate whether the conduct also violates state or federal discrimination law, negotiate with the employer or agency, and represent you in a hearing or litigation. In Michigan, many employment law attorneys work on contingency fee arrangements for discrimination cases, meaning you pay no upfront fee if they take the case. Contact the State Bar of Michigan (www.michbar.org, phone: 517-346-6300) for attorney referrals.