Long title | To amend the Fair Labor Standards Act of 1938 to provide more effective remedies to victims of discrimination in the payment of wages on the basis of sex, and for other purposes. |
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Announced in | the 118th United States Congress |
Sponsored by | Rosa DeLauro (D-CT) |
Number of co-sponsors | 216 |
Legislative history | |
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The Paycheck Fairness Act (H.R.7) is a proposed United States labor law that would add procedural protections to the Equal Pay Act of 1963 and the Fair Labor Standards Act as part of an effort to address the gender pay gap in the United States. A Census Bureau report published in 2008 stated that women's median annual earnings were 77.5% of men's earnings. [1] Recently this has narrowed, as by 2018, this was estimated to have decreased to women earning 80-85% of men's earnings. [2] One study [3] suggests that when the data is controlled for certain variables, the residual gap is around 5-7%; the same study concludes that the residual is because "hours of work in many occupations are worth more when given at particular moments and when the hours are more continuous. That is, in many occupations, earnings have a nonlinear relationship with respect to hours."
The bill "punishes employers for retaliating against workers who share wage information, puts the justification burden on employers as to why someone is paid less and allows workers to sue for punitive damages of wage discrimination." [4] Another provision of the bill would start programs to train women in ways to better negotiate their wages. [4]
Proponents of the Paycheck Fairness Act consider it an extension of the laws established by the Equal Pay Act of 1963, which makes it illegal for employers to pay unequal wages to men and women who perform substantially equal work. In order to find an employer in violation of the Equal Pay Act, a plaintiff must prove that "(1) the employer pays different wages to employees of the opposite sex; (2) the employees perform equal work on jobs requiring equal skill, effort, and responsibility; and (3) the jobs are performed under similar working conditions."[1] Even if the individual makes each of these showings, the defendant employer may avoid liability by proving that the wage disparity is justified by one of four affirmative defenses—that is, that the employer has set the challenged wages pursuant to "(1) a seniority system; (2) a merit system; (3) a system which measures earnings by quantity or quality of production; or (4) a differential based on any other factor other than sex." [5]
Fifty years after the law's passage, a median earnings gap still exists between men and women. According to U.S. News & World Report , the Paycheck Fairness Act is meant to close this gap by:
The bill was first introduced in 1997, [7] and has been reintroduced to congress many times, including:
Congress | Short title | Bill number(s) | Date introduced | Sponsor(s) | # of cosponsors | Latest status |
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105th Congress | Paycheck Fairness Act of 1997 | H.R. 2023 | June 24, 1997 | Rosa DeLauro (D-CT) | 95 | Died in Committee |
S. 71 | January 21, 1997 | Tom Daschle (D-SD) | 23 | Died in Committee | ||
106th Congress | Paycheck Fairness Act of 1999 | H.R. 541 | February 3, 1999 | Rosa DeLauro (D-CT) | 122 | Died in Committee |
H.R. 2397 | June 30, 1999 | Rosa DeLauro (D-CT) | 170 | Died in Committee | ||
S. 74 | January 19, 1999 | Tom Daschle (D-SD) | 31 | Died in Committee | ||
107th Congress | Paycheck Fairness Act of 2001 | H.R. 781 | February 28, 2001 | Rosa DeLauro (D-CT) | 196 | Died in Committee |
S. 77 | January 22, 2001 | Tom Daschle (D-SD) | 32 | Died in Committee | ||
108th Congress | Paycheck Fairness Act of 2003 | H.R. 1688 | April 4, 2003 | Rosa DeLauro (D-CT) | 116 | Died in Committee |
S. 76 | January 7, 2003 | Tom Daschle (D-SD) | 20 | Died in Committee | ||
109th Congress | Paycheck Fairness Act of 2005 | H.R. 1687 | April 19, 2005 | Rosa DeLauro (D-CT) | 111 | Died in Committee |
S. 841 | April 19, 2005 | Hillary Clinton (D-NY) | 18 | Died in Committee | ||
110th Congress | Paycheck Fairness Act of 2007 | H.R. 1338 | March 6, 2007 | Rosa DeLauro (D-CT) | 230 | Passed in the House (247-178) [8] |
S. 766 | March 6, 2007 | Hillary Clinton (D-NY) | 24 | Died in Committee | ||
111th Congress | Paycheck Fairness Act of 2009 | H.R. 12 | January 6, 2009 | Rosa DeLauro (D-CT) | 200 | Passed in the House (256-163) [9] |
S. 182 | January 8, 2009 | Hillary Clinton (D-NY) | 42 | Died in Committee | ||
S. 3772 | September 13, 2010 | Harry Reid (D-NV) | 33 | Cloture was not invoked (58-41) [10] | ||
112th Congress | Paycheck Fairness Act of 2011 | H.R. 1519 | April 13, 2011 | Rosa DeLauro (D-CT) | 197 | Died in Committee |
S. 797 | April 12, 2011 | Barbara Mikulski (D-MD) | 35 | Died in Committee | ||
S. 3220 | May 22, 2012 | Barbara Mikulski (D-MD) | 37 | Cloture was not invoked (52-47) [11] | ||
113th Congress | Paycheck Fairness Act of 2013 | H.R. 377 | January 23, 2013 | Rosa DeLauro (D-CT) | 208 | Died in Committee |
S. 84 | January 23, 2013 | Barbara Mikulski (D-MD) | 56 | Died in Committee | ||
S. 2199 | April 1, 2014 | Barbara Mikulski (D-MD) | 42 | Cloture was not invoked (53-44) [4] | ||
114th Congress | Paycheck Fairness Act of 2015 | H.R. 1619 | March 25, 2015 | Rosa DeLauro (D-CT) | 193 | Died in Committee |
S. 862 | March 25, 2015 | Barbara Mikulski (D-MD) | 44 | Died in Committee | ||
115th Congress | Paycheck Fairness Act of 2017 | H.R. 1869 | April 7, 2017 | Rosa DeLauro (D-CT) | 201 | Died in Committee |
S. 819 | April 4, 2017 | Patty Murray (D-WA) | 48 | Died in Committee | ||
116th Congress | Paycheck Fairness Act of 2019 | H.R. 7 | January 3, 2019 | Rosa DeLauro (D-CT) | 239 | Passed in the House (242-187) [12] |
S. 270 | March 28, 2019 | Patty Murray (D-WA) | 46 | Died in Committee | ||
117th Congress | Paycheck Fairness Act of 2021 | H.R. 7 | January 28, 2021 | Rosa DeLauro (D-CT) | 225 | Passed in the House (217-210) [13] |
Cloture was not invoked (49-50) [14] | ||||||
S.205 | February 3, 2021 | Patty Murray (D-WA) | 49 | Died in Committee | ||
118th Congress | Paycheck Fairness Act of 2023 | H.R. 17 | March 10, 2023 | Rosa DeLauro (D-CT) | 216 | Referred to committees of jurisdiction |
The United States Senate failed to move the bill forward in November 2010. [10] The 2010 bill had no Republican Party co-sponsors, though a group of four Republican senators had supported an earlier bill to address gender-based wage discrimination, including Susan Collins, Kay Bailey Hutchison, Lisa Murkowski, and Olympia Snowe. [15] The 2010 Senate version of the bill had the support of the Obama administration and that of Democrats in the Senate. The American Civil Liberties Union supported S.182, citing the 2008 data from the United States Census Bureau that women's median annual earnings were 77.5% of the male median, African-American women's median annual earnings were 64% of the white male median, and Hispanic women's median annual earnings were 54% of the white male median. [16] The American Association of University Women also supported the bill, citing the organization's 2007 research report, Behind the Pay Gap, which showed that women earn less than their male colleagues just one year out of college. The pay gap has widened 10 years after graduation. [17]
President Barack Obama said in March 2011 that he will continue to fight for the goals in the Paycheck Fairness Act. [18] The bill was reintroduced in both houses of Congress in April 2011. [19]
On June 5, 2012, the bill fell short of the 60 votes necessary to override a filibuster and did not make it to the Senate floor for debate. The vote went along party lines, excluding a vote against by Democrat Harry Reid. (Senator Reid changes his vote as a procedural maneuver, which left Democrats the option to call up the bill again at a later time.) [11]
On April 9, 2014, in another straight-party-line vote, the Paycheck Fairness Act (S. 2199; 113th Congress) was again blocked by a Republican filibuster in the U.S. Senate. Once again, Senator Reid changed his vote from support to oppose, as a tactical maneuver to keep the bill alive. The Paycheck Fairness Act was introduced into the United States Senate on April 1, 2014 by Senator Barbara Mikulski (D-MD). [20] The bill was not referred to any committees. On April 9, 2014, a vote to end the debate on the bill failed in a 53-44 vote, when 60 votes were needed. [4] All of the Republicans voted against ending the debate. [4] The bill was introduced into the United States Senate during the 113th United States Congress. On April 9, 2014, it failed an important vote to end debate on the bill. [4]
On June 10, 2021, the bill was filibustered on a 49-50 vote, with all Democrats voting for cloture and Republicans voting against cloture, with one Democrat not voting.
This summary is based largely on the summary provided by the Congressional Research Service, a public domain source. [21]
The Paycheck Fairness Act would amend the portion of the Fair Labor Standards Act of 1938 (FLSA) known as the Equal Pay Act to revise remedies for, enforcement of, and exceptions to prohibitions against sex discrimination in the payment of wages. [21]
The bill would revise the exception to the prohibition for a wage rate differential based on any other factor other than sex. It would limit such factors to bona fide factors, such as education, training, or experience. [21]
The bill would state that the bona fide factor defense shall apply only if the employer demonstrates that such factor: (1) is not based upon or derived from a sex-based differential in compensation, (2) is job-related with respect to the position in question, and (3) is consistent with business necessity. Makes such defense inapplicable where the employee demonstrates that: (1) an alternative employment practice exists that would serve the same business purpose without producing such differential, and (2) the employer has refused to adopt such alternative practice. [21]
The bill would revise the prohibition against employer retaliation for employee complaints. Prohibits retaliation for inquiring about, discussing, or disclosing the wages of the employee or another employee in response to a complaint or charge, or in furtherance of a sex discrimination investigation, proceeding, hearing, or action, or an investigation conducted by the employer. [21]
The bill would make employers who violate sex discrimination prohibitions liable in a civil action for either compensatory or (except for the federal government) punitive damages. [21]
The bill would state that any action brought to enforce the prohibition against sex discrimination may be maintained as a class action in which individuals may be joined as party plaintiffs without their written consent. [21]
The bill would authorize the United States Secretary of Labor (Secretary) to seek additional compensatory or punitive damages in a sex discrimination action. [21]
The bill would require the Equal Employment Opportunity Commission (EEOC) and the Office of Federal Contract Compliance Programs to train EEOC employees and affected individuals and entities on matters involving wage discrimination. [21]
The bill would authorize the Secretary to make grants to eligible entities for negotiation skills training programs for girls and women. Directs the Secretary and the United States Secretary of Education to issue regulations or policy guidance to integrate such training into certain programs under their Departments. [21]
The bill would direct the Secretary to conduct studies and provide information to employers, labor organizations, and the general public regarding the means available to eliminate pay disparities between men and women. [21]
The bill would establish the Secretary of Labor's National Award for Pay Equity in the Workplace for an employer who has made a substantial effort to eliminate pay disparities between men and women. [21]
The bill would amend the Civil Rights Act of 1964 to require the EEOC to collect from employers pay information data regarding the sex, race, and national origin of employees for use in the enforcement of federal laws prohibiting pay discrimination. [21]
The bill would direct: (1) the Commissioner of Labor Statistics to continue to collect data on woman workers in the Current Employment Statistics survey, (2) the Office of Federal Contract Compliance Programs to use specified types of methods in investigating compensation discrimination and in enforcing pay equity, and (3) the Secretary to make accurate information on compensation discrimination readily available to the public. [21]
The bill would direct the Secretary and the Commissioner [sic] of the EEOC jointly to develop technical assistance material to assist small businesses to comply with the requirements of this Act. [21]
Democrats said they intended to use the votes on this bill and the issue of equal pay as political issues in the 2014 midterm elections. [4] Senator Charles Schumer (D-NY) told reporters that "pay equity, that's women, that's 53 percent of the vote." [4] In 2012, Democrats did better than Republicans among women voters. [4]
Senator Mikulski said that "it brings tears to my eyes to know women are working so hard and being paid less" and that "it makes me emotional when I hear that... I get angry, I get outraged and I get volcanic." [4]
Republicans gave several different reasons for voting against ending debate. One reason for their opposition, given by Senators Susan Collins (R-ME) and Kelly Ayotte (R-NH), was that Majority Leader Harry Reid had refused to allow votes on any of the amendments that Republicans had suggested for the bill. [4] Republicans also objected because it would strongly benefit trial lawyers and would "remove caps on punitive damages against businesses found guilty of discrimination." [4] Minority Leader Mitch McConnell (R-KY) said that the legislation would "line the pockets of trial lawyers" not help women. [4]
The National Women's Law Center makes the following case for the Paycheck Fairness Act:
For example:
After conducting a study of 680,000 EEOC discrimination complaints that found 63% of filers later lost their jobs, [26] University of Massachusetts Amherst scholars Professor Donald Tomaskovic-Devey and doctoral students Carly McCann and J.D. Swerzenski opined that "passage of [the Paycheck Fairness Act] would be a good step to encourage more workers to report discrimination," but called for broader discrimination protections and stronger violation penalties. [27]
A 2009 CONSAD Research Corporation study prepared for the US Department of Labor cautioned against misinterpretation of census and other wage data, suggesting that the wage gap between the sexes was not due to systematic discrimination:
Although additional research in this area is clearly needed, this study leads to the unambiguous conclusion that the differences in the compensation of men and women are the result of a multitude of factors and that the raw wage gap should not be used as the basis to justify corrective action. Indeed, there may be nothing to correct. The differences in raw wages may be almost entirely the result of the individual choices being made by both male and female workers. [28]
Christina Hoff Sommers, a resident scholar at the American Enterprise Institute, criticized the proposed law, citing the study. [29]
Columnist Daniel Fisher criticized the legislation in Forbes magazine, pointing out that eliminating the "reason other than sex" defense used by employers under existing law would mean that wage differences based on an individual's salary history and negotiating skills would be treated as evidence of discrimination, even if the employer's actions were not based on gender. [30] According to Fisher, the act "eliminates the 'reason other than sex' defense and substitutes instead a requirement that the employer prove that its pay practices are divorced from any discrimination in its workplace or at the employee's prior workplace, that the pay practice is job related, and that it is consistent with "business necessity." [30]
The Civil Rights Act of 1964 is a landmark civil rights and labor law in the United States that outlaws discrimination based on race, color, religion, sex, and national origin. It prohibits unequal application of voter registration requirements, racial segregation in schools and public accommodations, and employment discrimination. The act "remains one of the most significant legislative achievements in American history".
The Equal Pay Act of 1963 is a United States labor law amending the Fair Labor Standards Act, aimed at abolishing wage disparity based on sex. It was signed into law on June 10, 1963, by John F. Kennedy as part of his New Frontier Program. In passing the bill, Congress stated that sex discrimination:
The U.S. Equal Employment Opportunity Commission (EEOC) is a federal agency that was established via the Civil Rights Act of 1964 to administer and enforce civil rights laws against workplace discrimination. The EEOC investigates discrimination complaints based on an individual's race, color, national origin, religion, sex, age, disability, genetic information, and retaliation for participating in a discrimination complaint proceeding and/or opposing a discriminatory practice.
United States labor law sets the rights and duties for employees, labor unions, and employers in the US. Labor law's basic aim is to remedy the "inequality of bargaining power" between employees and employers, especially employers "organized in the corporate or other forms of ownership association". Over the 20th century, federal law created minimum social and economic rights, and encouraged state laws to go beyond the minimum to favor employees. The Fair Labor Standards Act of 1938 requires a federal minimum wage, currently $7.25 but higher in 29 states and D.C., and discourages working weeks over 40 hours through time-and-a-half overtime pay. There are no federal laws, and few state laws, requiring paid holidays or paid family leave. The Family and Medical Leave Act of 1993 creates a limited right to 12 weeks of unpaid leave in larger employers. There is no automatic right to an occupational pension beyond federally guaranteed Social Security, but the Employee Retirement Income Security Act of 1974 requires standards of prudent management and good governance if employers agree to provide pensions, health plans or other benefits. The Occupational Safety and Health Act of 1970 requires employees have a safe system of work.
Equal pay for equal work is the concept of labour rights that individuals in the same workplace be given equal pay. It is most commonly used in the context of sexual discrimination, in relation to the gender pay gap. Equal pay relates to the full range of payments and benefits, including basic pay, non-salary payments, bonuses and allowances. Some countries have moved faster than others in addressing equal pay.
Pregnancy discrimination is a type of employment discrimination that occurs when expectant women are fired, not hired, or otherwise discriminated against due to their pregnancy or intention to become pregnant. Common forms of pregnancy discrimination include not being hired due to visible pregnancy or likelihood of becoming pregnant, being fired after informing an employer of one's pregnancy, being fired after maternity leave, and receiving a pay dock due to pregnancy. Pregnancy discrimination may also take the form of denying reasonable accommodations to workers based on pregnancy, childbirth, and related medical conditions. Pregnancy discrimination has also been examined to have an indirect relationship with the decline of a mother's physical and mental health. Convention on the Elimination of All Forms of Discrimination against Women prohibits dismissal on the grounds of maternity or pregnancy and ensures right to maternity leave or comparable social benefits. The Maternity Protection Convention C 183 proclaims adequate protection for pregnancy as well. Though women have some protection in the United States because of the Pregnancy Discrimination Act of 1978, it has not completely curbed the incidence of pregnancy discrimination. The Equal Rights Amendment could ensure more robust sex equality ensuring that women and men could both work and have children at the same time.
Employment discrimination is a form of illegal discrimination in the workplace based on legally protected characteristics. In the U.S., federal anti-discrimination law prohibits discrimination by employers against employees based on age, race, gender, sex, religion, national origin, and physical or mental disability. State and local laws often protect additional characteristics such as marital status, veteran status and caregiver/familial status. Earnings differentials or occupational differentiation—where differences in pay come from differences in qualifications or responsibilities—should not be confused with employment discrimination. Discrimination can be intended and involve disparate treatment of a group or be unintended, yet create disparate impact for a group.
The gender pay gap in the United States is a measure comparing the earnings of men and women in the workforce. The average female annual earnings is around 80% of the average male's. When variables such as hours worked, occupations chosen, and education and job experience are controlled for, the gap diminishes with females earning 95% as much as males. The exact figure varies because different organizations use different methodologies to calculate the gap. The gap varies depending on industry and is influenced by factors such as race and age. The causes of the gender pay gap are debated, but popular explanations include the "motherhood penalty," hours worked, occupation chosen, willingness to negotiate salary, and gender bias.
Employment discrimination law in the United States derives from the common law, and is codified in numerous state, federal, and local laws. These laws prohibit discrimination based on certain characteristics or "protected categories". The United States Constitution also prohibits discrimination by federal and state governments against their public employees. Discrimination in the private sector is not directly constrained by the Constitution, but has become subject to a growing body of federal and state law, including the Title VII of the Civil Rights Act of 1964. Federal law prohibits discrimination in a number of areas, including recruiting, hiring, job evaluations, promotion policies, training, compensation and disciplinary action. State laws often extend protection to additional categories or employers.
The Lilly Ledbetter Fair Pay Act of 2009 is a landmark federal statute in the United States that was the first bill signed into law by U.S. President Barack Obama on January 29, 2009. The act amends Title VII of the Civil Rights Act of 1964 and states that the 180-day statute of limitations for filing an equal-pay lawsuit regarding pay discrimination resets with each new paycheck affected by that discriminatory action. The law directly addressed Ledbetter v. Goodyear Tire & Rubber Co. (2007), a U.S. Supreme Court decision that the statute of limitations for presenting an equal-pay lawsuit begins on the date that the employer makes the initial discriminatory wage decision, not at the date of the most recent paycheck.
The Fair Labor Standards Act of 1938 29 U.S.C. § 203 (FLSA) is a United States labor law that creates the right to a minimum wage, and "time-and-a-half" overtime pay when people work over forty hours a week. It also prohibits employment of minors in "oppressive child labor". It applies to employees engaged in interstate commerce or employed by an enterprise engaged in commerce or in the production of goods for commerce, unless the employer can claim an exemption from coverage. The Act was enacted by the 75th Congress and signed into law by President Franklin D. Roosevelt in 1938.
Gender pay gap in Australia looks at the persistence of a gender pay gap in Australia. In Australia, the principle of "equal pay for equal work" was introduced in 1969. Anti-discrimination on the basis of sex was legislated in 1984.
In the United States, despite the efforts of equality proponents, income inequality persists among races and ethnicities. Asian Americans have the highest median income, followed by White Americans, Hispanic Americans, African Americans, and Native Americans. A variety of explanations for these differences have been proposed—such as differing access to education, two parent home family structure, high school dropout rates and experience of discrimination and deep-seated and systemic anti-Black racism—and the topic is highly controversial.
In Russia the wage gap exists and statistical analysis shows that most of it cannot be explained by lower qualifications of women compared to men. On the other hand, occupational segregation by gender and labor market discrimination seem to account for a large share of it.
County of Washington v. Gunther, 452 U.S. 161 (1981), is a United States labor law case concerning discrimination and the lower standards of protection for gender pay because of the Bennett Amendment in Title VII of the Civil Rights Act of 1964, §703(h).
The gender pay gap or gender wage gap is the average difference between the remuneration for men and women who are working. Women are generally found to be paid less than men. There are two distinct numbers regarding the pay gap: non-adjusted versus adjusted pay gap. The latter typically takes into account differences in hours worked, occupations chosen, education and job experience. In other words, the adjusted values represent how much women and men make for the same work, while the non-adjusted values represent how much the average man and woman make in total. In the United States, for example, the non-adjusted average woman's annual salary is 79–83% of the average man's salary, compared to 95–99% for the adjusted average salary.
Equal Pay Day is the symbolic day dedicated to raising awareness of the gender pay gap. In the United States, this date symbolizes how far into the year the average median woman must work in order to have earned what the average median man had earned the entire previous year. The exact day differs year by year. In 2022, it was March 15. On average, women earn $0.82 for every dollar men earned in 2019.
Authored by State Senator Hannah-Beth Jackson, the California Fair Pay Act is an amendment to the existing California labor laws that protects employees who want to discuss about their co-workers' wages as well as eliminating loopholes that allowed employers to justify inequalities in pay distribution between opposite sexes. The bill is an extension of the California Equal Pay Act of 1949, which was originally intended to enforce equal pay.
Vermont has the 10th smallest gender wage gap of all the states in America, with women who work full-time year round in Vermont making, on average, 84 cents for every dollar made by a man. This equates to $7,589 yearly. Together, Vermont women lose over $705 million every year. For a single person, 16 cents on every dollar amounts to approximately seven months of rent, and $7,000 for a family of four would pay for six months of child care or groceries.
Prior salary information is one of the factors involved in the implementation of the Equal Pay Act and prior salary legislation in the United States.
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