More often than not, women in the workplace earn less income than their male counterparts. However, California has created protections to ensure this kind of pay discrimination never occurs. At Sexual Harassment Attorney, our equal pay lawyers are devoted to ensuring equality and fairness in the workplace. If you work anywhere in California and are not receiving the same pay as your male counterparts, we can help. We will strive to ensure you start receiving equal pay and recover any damages you are entitled to for the period you did not receive the pay you deserved.
Understanding the Federal and California EPA (Equal Pay Act)
Congress enacted the EPA in 1963. The EPA forbids wage discrimination depending on gender. Per this Act, the following acts are forbidden and punishable under the law:
- Different incomes being paid to workers of the opposite gender where the workers have the same skill and do the same work or
- The workers work under similar conditions.
The law does not talk about pay gaps contingent on ethnicity or race. The federal Equal Pay Act forbids paying workers of the opposite gender a lower amount for equal performance on work that requires equal responsibility, effort, and skill and is performed under the same work conditions. There are four exceptions under this Act:
- A differential contingent on an element other than gender
- A system that determines earnings by quality or quantity of production
- A seniority system
- A merit system
The federal Equal Pay Act does not necessitate that you provide evidence of deliberate discrimination. Your employer is presumably guilty once you prove unequal pay. The employer then bears the burden of demonstrating that any or all of the above exceptions apply in the case.
The limits of the above exceptions have been significantly questioned. The seniority system compensates workers for increased value accrued via personal job experiences over a period of time, whereas the merit system rewards greater capability. The second exception concerning performance metrics is quite straightforward. The first exception applies to any other element other than gender. It applies only where there is a valid business-related consideration. For example, it can be used where employers have a predetermined and generally applicable formula to award annual wage increases.
The purpose of this law was to address the difference in pay between women and men in the 1960s, and it has been imposing strict mandates safeguarding employees. Even though the sex pay gap has narrowed since 1963, unfortunately, it has remained the same since 2004.
The California Fair Pay Act (FPA)
In the last decades, California has enacted one of the most progressive employment laws in the U.S., including the EPA. In 2016, the state governor, Jerry Brown, signed into law the FPA, which amended and strengthened the EPA in several ways and marked California's dedication to achieving equal gender pay. The FPA necessitates the following:
- Prolonging the years that an employer must maintain income and other job-related records from two to three years
- Retaliation against workers seeking to ensure the law is followed is unlawful, and it is against the law for an employer to prohibit workers from inquiring about or discussing their counterparts’ wages or pay rates with colleagues.
- The law makes it more challenging for an employer to justify its inequities in wage payments based on bona fide factors other than gender.
- Ensuring any valid factors an employer depends upon for wage inequality are argued reasonably and account for the total pay difference.
- Elimination of the condition that the workers being compared for equal pay work at the same establishment
- Equal pay for workers who do substantially similar work when the work is seen as a combination of responsibility, effort, and skill.
- An employer cannot inquire about a job candidate's past salary.
- An employer can only pay a different wage to an employee contingent on seniority, a variation in work quality or period spent, or an employment-related concern that has nothing to do with ethnicity, race, or sex.
The California FPA intends to eradicate pay disparities between workers of different races, ethnicities, or genders who do substantially similar work. According to this Act, an employer is forbidden from paying workers of one gender less income than their colleagues of the opposite gender who do substantially similar work.
“Substantially similar work” means jobs that require virtually identical effort, responsibility, and skill levels, performed in similar working circumstances. Applying these parameters usually does not require that the jobs have identical specifics. That is, the jobs need not be a replica of one another.
Consider this example of what two chefs do: Chef A works in a high-end restaurant, while Chef B operates a modest food cart. Even though these setups are different, the culinary expertise (skill), mental and physical extortion in preparing food (effort), and oversight of food security and providing consistent quality (responsibility) needed by the two chefs are noticeably similar. The duty specifications might differ, but examining the task broadly reveals the job they perform is substantially the same.
Under the FPA, California workers can also discuss their salaries and wages with their colleagues. Their employers are prohibited from retaliating against them for holding these kinds of discussions. This policy's openness is meant to assist in identifying and rectifying unjust pay and sex wage gap issues.
The law also requires an employer to provide pay scales to a new job applicant after a reasonable request, and they must keep job title records and their related wage rates. The law necessitates this transparency to assist in addressing possible discriminatory pay practices.
Once you prove your employer pays you less than somebody of a dissimilar ethnicity, gender, or race doing substantially the same work, the employer can demonstrate any of these affirmative defenses:
- Production system—according to this system, wages can be determined by the quality or quantity of production. In a sales position, for example, a worker who sells a lot can earn an increased income, and this determines quantity. On the other hand, better service is rewarded in roles that deal with customer service, which determines quality.
- Merit system—Here, payroll is impacted by a worker's performance. This system resembles a rewards program whereby high performance and hard work lead to higher pay.
- Seniority system—Under the seniority system, a difference in pay can be warranted, whereby the working period in a given company might determine the worker's pay. For example, a worker who has worked for a company longer might earn more money.
- Genuine factors that are not gender—The California EPA permits an exception whereby the pay difference could be contingent on any other factor that is not gender. This may include factors like training, education, or experience, provided it is considered business-related and a requirement for the job position.
The Difference Between Federal and State Equal Pay Statutes
Both the federal and California EPAs forbid wage discrimination. However, the California law’s scope is broader. The California law makes it unlawful to practice wage discrimination contingent on gender, ethnicity, and race, whereas the federal law only addresses gender-based pay discrimination.
Another critical difference between these two laws is the various standards for comparing a complainant's work to the comparator’s. The federal EPA necessitates equal work for jobs whose performance requires equal responsibility, effort, and skill and which are done under the same work conditions. However, California law only necessitates that the comparator's work be substantially similar to the complaint’s when seen as a combination of responsibility, effort, and skill. Regardless of these differences, these laws are usually analyzed similarly.
Despite the enforcement of the federal and California EPAs, gender pay inequality is still a serious matter for many working women, particularly those of color. The most recent earnings report by the U.S. Labor Department details an approximately 20 percent pay gap between women and men in the last three months of 2018. This is a deviation from equality and empowerment that the EPA promises to combat.
Even though California has reduced its wage gap to below 17 percent by enacting the state's Fair Pay Act in 2016, unethical companies continue several unjust practices discriminating against women employees. The impacts of these unjust wage-pay practices have severe repercussions for female workers and their families. Due to decreased wages, female employees receive less in retirement income, are incapable of repaying their bank loans as quickly as possible (placing them several years behind their male counterparts), and are steered toward lower-paying employment opportunities.
If you face pay discrimination based on gender, know you can recover damages. The EPA is deemed a strict liability law, necessitating an employer to pay female and male employees the same wage amount for equivalent or similar work. That means a business or person can be deemed negligent and thus held responsible if they have not acted in accordance with the EPA.
What to Do If You Face Gender Pay Discrimination
If you think your employer is paying you less than your male colleagues, you can bring a claim with the state's Labor Commissioner's Office. Alternatively, you can take private legal action against your employer by bringing a lawsuit. In the meantime, taking the following steps will help strengthen your claim or lawsuit:
- Understand your legal rights—know the state, local, and federal laws governing equal pay to establish if you have a case.
- Collect evidence—ensure to gather evidence that supports your claim or lawsuit, including comprehensive records of pay rates for every worker and their sex, any comments made and records of the comments demonstrating illegal discrimination, the job responsibilities and duties of each worker, and the job's qualifications, duties, and description.
- Talk to your union—you can report this matter to the union’s representative if you are a labor union or organization member. The representative might help you by addressing your concerns, talking to your employer, or advising you on developing a compelling case.
- Consult an employment lawyer—an attorney specializing in gender pay discrimination at work can provide legal guidance and counsel on handling your case and help you navigate the process of seeking justice and recovering the damages you deserve.
Types of Pay That Must Be Equal
According to equal pay laws, the following kinds of pay must be equal for women and their male counterparts in the workplace and employees across all races and ethnicities:
- Bonuses
- Hourly pay
- Employer-provided healthcare
- Overtime pay
- Life insurance benefits
- Retirement benefits
- Pay reimbursement policies
- Sick leave
- Salaries
- Travel accommodations and expenses
- Vacation pay
- Stock options
How to Prove Equal Pay Discrimination in the Workplace
When comparing jobs to establish whether unequal pay is happening, multiple comparison lines are available to establish whether the job done in every role is substantially similar. Whenever the court is examining the aspects of each job, it will scrutinize the following elements:
- Establishment—Unequal pay need not occur at the same physical location, even for companies with several separate locations.
- Work environment—workplace hazards and physical surroundings are included.
- Responsibility—the level of accountability each role reaches
- Skill level—the education, experience, training, and ability necessary for each work, not the employees’ independent skills. As mentioned earlier, merit and seniority are permissible elements for different compensation rates.
- Effort—the mental and physical level of effort required to work in every position. Quality or quantity of work might be a consideration in a business's compensation structure.
How compelling an equal pay claim will be often depends on the evidence you can collect. Your attorney can assist you in gathering witness statements, videos, documents, and other pieces of evidence invaluable to the pay discrimination lawsuit or claim. They can then help you obtain the compensation, benefits, and pay you deserve.
Damages You Can Recover
If you have faced pay discrimination at your place of work based on sex, you want to seek legal help immediately. An attorney can probe all the facts surrounding your situation and strive to ensure your employer fairly compensates you for what they did. The damages your lawyer may pursue include the following:
- Any unpaid bonuses, benefits, or wages you should have rightfully earned
- Interest on the unpaid wages
- Legal fees and court costs
- Any promotions, if applicable
- The value as liquidated damages
You may also recover punitive damages if your employer has been found liable for willfully underpaying you due to your sex. These damages are meant to punish the employer for their willful conduct. In severe cases, your employer may even be subject to criminal charges.
The Statute of Limitations for Bringing a Pay Discrimination Lawsuit
A California unequal pay lawsuit must be brought in court within twenty-four months from the violation date. If the pay discrimination was intentional, the lawsuit must be brought in court within thirty-six months of the violation (Labor Code 1197.5(i)).
Every paycheck you receive that shows unequal wage pay is deemed a violation to determine the time limit for bringing a suit. You can either bring a claim for the state EPA violation with the Labor Commissioner’s Office, Department of Industrial Relations State of California or bring a suit in court. The law does not require you to file a claim with the Labor Commissioner's office before bringing a suit in court.
You must file your claim with the California DFEH (Department of Fair Employment and Housing) if you believe you have a pay discrimination claim (for example, not being promoted because of your gender), apart from a claim for an EPA violation. That is because DFEH is the state body in charge of protecting California residents from employment discrimination and enforcing the state's civil rights statutes.
You have six months, counting from the day the retaliation happened, to bring a retaliation claim with the Labor Commissioner's Office if you are alleging retaliation for bringing a California EPA claim. Alternatively, you can file a retaliation lawsuit in court within 12 months from when the retaliation occurred (Labor Code 1197.5 (k)(3)). You must not file your retaliation claim with the Labor Commissioner's Office before bringing a lawsuit in court.
Find an Experienced Employment Law Attorney Near Me
Gender pay discrimination against women in the workplace is a sensitive subject that has been an issue in the U.S. for several years. However, thanks to laws like the EPA and California FPA, workers can assist in remedying this problem. If you can demonstrate that you receive less pay than your counterparts at your workplace who do similar work and the pay gap is contingent on your sex, ethnicity, or race, you might have a valid case. Your first step should be to contact a skilled equal-pay attorney to discuss your case.
At Sexual Harassment Attorney, we have vigorously fought wage-pay inequality victims and their families across California, representing their interests throughout their claims or lawsuits. Our fair pay attorneys have devoted themselves to assisting victims in fighting for pay equality and pursuing legal action against any employer treating them unfairly or otherwise jeopardizing their rights. Call us at 800-905-1856 regardless of your type of work or where you work within California. We will conduct a case evaluation and do everything to help you recover the damages you deserve and start receiving equal pay as your counterparts.
