Combatting Pay Discrimination in the Workplace
In 1998, Lilly Ledbetter filed an equal-pay suit against a Goodyear tire plant in Alabama under Title VII of the Civil Rights Act of 1964. This case made its way up to the Supreme Court, eventually resulting in the Lilly Ledbetter Fair Pay Act of 2009 being signed into law. This Act amends Title VII and the Age Discrimination in Employment Act of 1967, and modifies the Americans with Disabilities Act of 1990, making it so the 180-day statute of limitation for filing a pay discrimination suit it restarts with every new paycheck that violates these laws. Prior to this Act, the statute of limitations ran from the date the pay was originally agreed upon and did not restart. While the supreme court did not rule in her favor, her legal battle led to the Fair Pay Act that has helped countless people after her recover the fair wages they deserve.
What Does Pay Discrimination Look Like?
Pay discrimination does not occur anytime an employer pays a woman less than a man. It does occur, however, when an employer pays employees of different sexes differently for equal work on jobs that require equal skill, effort, and responsibility, that are performed under similar working conditions. It’s important to note that in this context, equal does mean identical. “Equal effort” refers to both mental and physical effort, and “equal responsibility” refers to the degree of accountability needed for the job. Lawful reasons for pay disparity are seniority, merit, quality/quantity of production, and any factor other than sex. The Equal Pay Act is a strict liability statute, which means that an employer who pays different wages to men and women doing similar work is automatically liable unless they prove one of the prior mentioned defenses.
Legal Remedies for Pay Discrimination
If an employer cannot provide a legal reason for pay discrepancies, an individual is able to recover back pay equal to the unlawful difference and attorney’s fees. They can also receive a mandatory pay increase. Because of Lilly Ledbetter, employees who notice unfair pay can file complaints if within 180 days from the last paycheck that violates the law. The amendment to this statute of limitation allows for women to have extra leeway when employers try to hide their unlawful actions.
Compensation Discrimination Vs. Sex Discrimination
Title VII prohibits compensation discrimination and other forms of discrimination based on sex. Someone who has a potential claim under the Equal Pay Act may also have a claim under Title VII for sex discrimination. Title VII protects employees and applicants from discrimination, harassment, and retaliation, allowing individual to reclaim lost wages, attorney fees, and out of pocket costs like insurance. This often goes together with wage discrimination, so if you’ve experienced it, you may also have a sex discrimination case.
While Lilly Ledbetter was prevented from recovering her fair pay, her actions paved the way for women around the country to win back theirs. Wage discrimination can be hard to spot, so it’s important to know what it looks like and how the law can protect you. If you suspect you’ve been subject to unfair pay, reach out to Walcheske & Luzi for assistance.