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Pay Equity Matters: Mind the Gap

The backlash has begun: whereas an increasing number of employers are now banned from asking prospective employees about their salary history, local jurisdictions in two states face a ban from instituting such bans. What do employers need to know about this latest development in the pay equity world?

As we reported last November, businesses in the UK with 250 or more employees now are required publicly to report differences in pay between men and women on their own websites and also to upload such information to a government-sponsored website. With the March 31, 2018 deadline for doing so rapidly approaching, some business—including some law firms—already have begun posting such data.

Two advocacy organizations, concerned that national pay equity action has been stalled, recently filed a lawsuit in federal court aiming to resurrect the beefed-up EEO-1 reporting requirements which would have forced employers to shed light on their compensation practices. Not satisfied with the tide of activity that is taking place at the state level, these organizations are hoping the courts will breathe new life into the federal effort to bolster consistent pay equity standards across the country. What do employers need to know about this latest development?

Tags: EEOC

The 3rd Circuit’s affirmation of summary judgment in a pay equity case after ten years of litigation shows that even non-meritorious claims can be time-consuming and costly. As many who have been involved in lawsuits know, they typically are costly and sometimes move about as swiftly as a tortoise on the back of a snail covered in molasses.  And, unfortunately—and especially for defendants in employment-related cases—the longer they last typically the more expensive they are to defend.

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