The Equal Pay Act of 1963 (EPA) The Equal Pay Act was signed by President John F. Kennedy on June 10, 1963 and dictates that women and men in the same workplace receive equal pay for equal work. It is illegal to pay these workers different wages; it is also illegal to retaliate against a worker who reports or files claims of sex-based wage discrimination. The Equal Pay Act of 1963 was passed to amend the Fair Labor Standards Act of 1938 which set minimum wage and child labor standards, as well as overtime requirements. Salaries of either sex may not be reduced in order to equalize employees’ pay. Exceptions are allowed only when salaries are based on seniority, merit systems and measurement systems based on quantity or quality
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The Council also found that numerous “resume studies have shown that, among identical resumes where only the name differs, gender affects whether the candidate is hired, the starting salary offered, and the employer’s overall assessment of the candidate’s quality” (Council of Economic Advisors Issue Brief, 2015). For example, in one study faculties from research-intensive universities were asked to appraise identical resumes of two applicants – one male and one female. The faculty reviewers selected the male applicant as more competent and offered a higher starting salary (Proceedings of the National Academy of Sciences of the United States of America, …show more content…
In addition, many organizations prohibit or discourage employees from discussing pay and benefits. An individual may file an EPA claim with the EEOC, if she can prove an employer pays different wages to employees of the opposite sex, that the employee holds a job that requires equal skill, effort and responsibility, and that jobs are performed under similar working conditions, Under the provisions of the Equal Pay Act, once an employee has met these factors, it is the up to the employer to disprove that a violation has occurred.
Currently, the Equal Employment Opportunity Commission is in the process of adding an additional reporting requirement, to include data on wages paid to employees by gender and race, for their annual Employer Information Report EEO-1. This requirement affects all employers with 100 or more employees. So due to the increasing equal pay claims filed and more governmental scrutiny regarding equal pay, employers should take necessary actions to comply with the Equal Pay
The Council also found that numerous “resume studies have shown that, among identical resumes where only the name differs, gender affects whether the candidate is hired, the starting salary offered, and the employer’s overall assessment of the candidate’s quality” (Council of Economic Advisors Issue Brief, 2015). For example, in one study faculties from research-intensive universities were asked to appraise identical resumes of two applicants – one male and one female. The faculty reviewers selected the male applicant as more competent and offered a higher starting salary (Proceedings of the National Academy of Sciences of the United States of America, …show more content…
In addition, many organizations prohibit or discourage employees from discussing pay and benefits. An individual may file an EPA claim with the EEOC, if she can prove an employer pays different wages to employees of the opposite sex, that the employee holds a job that requires equal skill, effort and responsibility, and that jobs are performed under similar working conditions, Under the provisions of the Equal Pay Act, once an employee has met these factors, it is the up to the employer to disprove that a violation has occurred.
Currently, the Equal Employment Opportunity Commission is in the process of adding an additional reporting requirement, to include data on wages paid to employees by gender and race, for their annual Employer Information Report EEO-1. This requirement affects all employers with 100 or more employees. So due to the increasing equal pay claims filed and more governmental scrutiny regarding equal pay, employers should take necessary actions to comply with the Equal Pay