In 1949, California passed the Equal Pay Act to close the wage gap. The original law was not without its flaws.
California passed the Fair Pay Act 2015 to strengthen the Equal Pay Act.
Californians who pursue wage and hour claims against their employers have significantly increased their chances of success with this law, as well as the additional changes that followed it.
What protections does the California Equal Pay Act provide?
California’s current compensation laws offer strong tools to level the playing field.
Fair Pay Act
- Fair Pay Act closed loopholes that existed in the original law that made it difficult for women who were unable to sue their employers.
- It changed the Equal Pay Act’s definition to include “substantially comparable work” rather than “equal work”. This clarifies that what is important is the work itself, and not the job title.
- The current law does not allow workers to compare themselves with others in the same establishment.
- This allows you to see if your women make the same as men in another factory that shares the same company.
- Employers are now required to keep records of wage and wage levels for three years to be able to assess wage differences.
- Employees no longer have to prove that their employer had a discriminatory intention.
- The employer must explain to the employee why they are paying less than other employees of a different sex, race or ethnicity.
CALIFORNIA LABOR CODE SS432.3
California Labor Code, SS 432.3 gives you new leverage in salary negotiations Specifically, it:
- Employers are forbidden from asking about your previous salary.
- Employers must provide wage ranges and pay scales upon reasonable request.
These rules will prevent your boss’s artificially low salary because it was based upon discriminatory standards.
Can an employer ever justify unequal wage rates?
Employers can justify paying less to certain employees if the wage differential is based on any one of the following:
- Seniority system
- A merit system
- An economic system that measures earnings based on production quantity and quality.
- A bona fide factor that is not sex, race, ethnicity, or sexual orientation (e.g. Education, training, and experience
The differences must also relate to the job, and be consistent with business necessity.
Can You Compare Wages With Your Coworkers?
Yes. Your employer can’t discipline you for disclosing your earnings or discussing wages with coworkers.
Summarized from an article by Ottinger Employment Lawyers.
