New Law Seeks To Equal Playing Field On Pay Inequality For Women
As of 2015, female workers made only 80 cents for every dollar earned by male workers thus putting the gender wage gap of 20%. Over 38.8 billion dollars was lost due to the wage gap between men and women. On October 6, 2015, Governor Jerry Brown signed the bill into law and the amendment took effect on January 1, 2016.
Governor Brown has referred to this new law as “the strongest equal pay law in the nation." Amending California’s existing equal pay law, the new Fair Pay Act lowers the burden of proof for plaintiffs claiming gender-discriminatory pay practices, by prohibiting an employer from paying lower wage rates for “substantially similar” work, rather than “equal” work, as used in existing law. The Fair Pay Act also increases the burden of proof for employers in defending such claims, requiring employers to directly demonstrate that differences in pay rates are based on legitimate other than the employee’s gender.
If you would like to know more about California's new Fair Pay Act, please telephone Christopher Taylor, Esq. at (626) 219-6008.