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Paycheck Fairness Act Passes House of Representatives

2019-04-07

The Act now proceeds to the Senate for consideration and voting

On March 27, 2019, the House of Representatives voted to pass the Paycheck Fairness Act.   The Act amends and strengthens the existing Equal Pay Act which prohibits gender-based pay disparities unless there is (1) a seniority system, (2) a merit system, (3) a system which measures earnings by the quantity or quality of production, or (4) a differential based on any other factor other than sex.

The Paycheck Fairness Act further provides that the “bona fide factor” justifying gender-based pay disparities would only apply where “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 job in question; (3) is consistent with business necessity, and (4) accounts for the entire differential in compensation at issue.”

The foregoing has been prepared for the general information of clients and friends of Workplace Dynamics LLC and is not being represented as being all-inclusive or complete. It has been abridged from legislation, administrative ruling, agency directives, and other information provided by the government. It is not meant to provide legal advice with respect to any specific matter and should not be acted upon without professional counsel.