You may recall that last year, we reported on a Ninth Circuit case, Rizo v. Yovino, wherein the Court of Appeal held that an applicant’s prior salary history is a “factor other than sex” that an employer may rely on, either alone or in combination with other factors, in setting pay rates–even though the use of that factor may result in men and women being paid different rates of pay for similar work. In so holding, the Court of Appeal relied on its own prior precedent (dating back to 1982), Kouba v. Allstate, wherein the Court expressly held that this was permissible and could not support a federal Equal Pay Act violation.
Articles Discussing Equal Pay In The Workplace.
Salary History is Not a Permitted ‘Factor Other Than Sex’ under Equal Pay Act, Ninth Circuit Holds
Prior salary alone or in combination with other factors cannot justify a wage differential between male and female employees under the Equal Pay Act, the U.S. Court of Appeals for the Ninth Circuit has held in an en banc decision. Rizo v. Yovino, No. 16-15372 (Apr. 9, 2018). This decision overturns the 2017 decision of a three-judge panel of the Ninth Circuit and the Court’s 1982 decision holding that prior salary was a permissible “factor other than sex” under the Equal Pay Act. Kouba v. Allstate Ins. Co., 691 F.3d 873 (9th Cir. 1982).
Trump’s 2019 Budget Proposal: Systemic Pay Discrimination Will Remain Priority
President Donald Trump’s budget proposal projects that both the EEOC and OFCCP will be “doing more with less.” Consequently, the agencies plan to focus resources.
Hollywood’s Time’s Up Movement Keeps Pay Equity in Spotlight
At the start of 2018, a group of powerful women in Hollywood launched the “Time’s Up” initiative to counter systemic sexual harassment and discrimination and address broader issues affecting women, including fair pay in the workplace. In support of its goals, the initiative includes a legal defense fund to help women protect themselves from sexual misconduct and discrimination.
Beyond Base-Pay: EEOC Settlement Targets Sales Representative Commissions
For some workers, the bulk of their income is commissions or other incentive-based pay, not their salary or base wage. For years, the Equal Employment Opportunity Commission, sales employees, and class action plaintiff attorneys have been interested in fair pay for sales workers and, in particular, pay discrimination involving female sales workers. A recent EEOC settlement demonstrates the need for employers to separately analyze all components of incentive-based workers’ pay.
It’s the Most Wonderful Time . . . For a Pay Equity Update
‘Tis the season . . . for state legislatures to close for the year. While we’re seeing legislative activity at the state level slow down, the past few months brought a flurry of activity in the area of pay equity and bans on salary history inquiries. Here is a recap of recent activity and noteworthy developments.
WPI State of the States: Lawmakers Keep Their Focus on Equal Pay Measures
As the holiday season approaches, legislative activity at the state level is starting to slow down. The California General Assembly closed out its term, for example, giving employers a breather until January. Illinois’ regular session has also concluded, although its ongoing veto override session may yet bring about new labor and employment regulations. Municipal legislators are keeping employers on their toes, no matter the season.
Mid-Year Roundup: Equal Pay and Related Bills Command Attention in 2017
Consistent with a major theme of the 2016 election cycle, equal pay and similar wage proposals dominated the attention of state legislatures in the first half of 2017.1 More than 100 such bills were introduced in the recent legislative sessions in more than 40 jurisdictions, including Washington, D.C. and Puerto Rico.2 While most of these bills have languished or were vetoed—most recently, a Maine proposal to expand its equal pay law reached the desk of Governor Paul LePage, only to be vetoed as the legislative term closed on June 30—the trend is apparent.
Unhidden Figures: U.K. Requires Public Gender Pay Gap Reporting
The U.K. Equality Act 2010 (Gender Pay Gap Information) Regulations 2017 went into effect in April. The new law requires private employers with 250 or more U.K.-based employees to publish, for 2017 and every year thereafter, information showing differences in pay between male and female employees.
April 4 is “Equal Pay Day”
Tuesday, April 4, is Equal Pay Day, the day symbolizing how far into the year women must work to earn what men earned in the previous year and observed by activists and advocates as an occasion to raise awareness about the gender pay gap.
U.S. Women’s Sports Intensify the Fray for Equal Pay
About a year ago, five prominent members of the U.S. Women’s Soccer team filed an EEOC charge claiming they were unfairly paid as compared to their male counterparts on the U.S. Men’s Soccer team. That charge is still pending.
Trump Signs Legislation and Issues Order Ending Obama-Era Fair Pay and Safe Workplaces Executive Order
The nearly three-year journey of Executive Order 13673: Fair Pay and Safe Workplaces, which President Barack Obama signed in July 2014, is officially over. Federal contractors will not be required to report alleged labor violations to federal agencies as part of the bid process or implement measures to foster pay transparency. They also will not be prohibited from entering into mandatory arbitration agreements concerning employee Title VII claims.
U.S. Women’s Hockey Team “Dropping the Gloves” for Pay Equity
The U.S. Women’s National Hockey Team will not play in the upcoming International Ice Hockey Federation World Championship unless “meaningful progress” is made in negotiations for increased pay and support from USA Hockey, the sport’s governing body in the United States. They join the U.S. women’s soccer team in the fight for pay equity. The U.S. Women’s National Soccer Team, in 2016, filed a pay discrimination charge with the EEOC against U.S. Soccer, alleging they unfairly are paid less than the mean’s team.
Representatives Wear “Suffragette White” to Support Equal Pay and Other Women’s Issues
During President Trump’s first joint address to Congress, a group of democratic female Representatives wore “suffragette white” to shine the spotlight on issues related to women, including #equalpay. Congresswoman Katherine Clark from Massachusetts, who participated in the unified message, posted on her twitter account, “We’re wearing suffragette white at #JointSession as a pledge to fight for women’s #reprorights, #equalpay, #paidleave & more #WomenWearWhite.”
Leveraging Data Analytics for Fair Pay
Fair pay is becoming an increasingly visible issue nationally, politically, and organizationally. Employers are paying attention to this issue and seeking out services and consultation to achieve and maintain pay equity. In this episode of Littler’s Big Data Initiative podcast, Dr. Zev Eigen discusses this burgeoning area, where it’s headed, and what employers can do now to prepare.