Preview

Navigating Pay Equity

Satisfactory Essays
Open Document
Open Document
500 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Navigating Pay Equity
Navigating Pay Equity:
Developments in Legislation
March 24, 2014

Agenda
• Historical legislation
• Lilly Ledbetter
• Paycheck Fairness Act
• Impact and advice for HR professionals

Equal Pay Act (EPA)
• Passed in 1963 as an amendment to the FLSA
• Requires equal pay for substantially equal work
▫Skill, Effort, Responsibility, Working
Conditions

• Gender claims only
• Not required to show discriminatory intent EPA - Affirmative Defenses
• Seniority system
• Merit system
• System which measures earnings by quantity or quality of production; or
• Any other factor other than sex
(FOS)

Other Legislation
•Title VII - Civil Rights Act 1964
▫Bennett Amendment

• Age Discrimination in Employment
Act of 1967 (ADEA)
• Americans With Disabilities Act of
1990 (ADA)
• They ALL prohibit discrimination in compensation. Lilly Ledbetter
• Worked 19 years as a production supervisor for Goodyear Tire &
Rubber Co.
• Received anonymous note listing her salary and the salaries of the men in the same job
• Filed EEOC complaint in March
1998
▫Claimed pay discrimination under

Court Proceedings
• Sued Goodyear in District Court & won
• Appeals court later ruled she missed 180 day window from the pay decision to file complaint • Validated by Supreme Court in 2007:
Ledbetter v. Goodyear Tire & Rubber Co.
▫ Overturned long-standing paycheck accrual rule ▫ Claimants cannot focus on current pay because Title VII itself focuses only on discrete pay decisions

Lilly Ledbetter Fair Pay Act - 2009
• First bill signed into law by President Obama
• Unlawful discrimination occurs when:
1. “a discriminatory compensation decision or other practice is adopted,
2. an individual becomes subject to a discriminatory compensation decision or other practice,

3. an individual is affected by application of a compensation decision or other practice , including each time wages, benefits, or other comp. is paid resulting in whole or in part from such a decision

Lilly Ledbetter Fair Pay Act - 2009
•
Continue Reading
View Writing Issues

You May Also Find These Documents Helpful

  • Satisfactory Essays

    Pay Gap Annotated Bibliography
    • 437 Words
    • 2 Pages

    Pay Gap Annotated Bibliography

    Goldberg Dey, Judy and Catherine Hill,. "Behind the Pay Gap." Published by the American Association of University Women Educational Foundation. (2007): 26.…

    • 437 Words
    • 2 Pages
    Satisfactory Essays
    Read More
  • Better Essays

    Ledbetter V. Goodyear Tire & Rubber Co
    • 1002 Words
    • 5 Pages

    Ledbetter V. Goodyear Tire & Rubber Co

    Connell, Tula. (2007) Lilly Ledbetter Fair Pay Act Now in Congress. Retrieved June 17th. Retrieved…

    • 1002 Words
    • 5 Pages
    Better Essays
    Read More
  • Satisfactory Essays

    Week# 2 Accounting
    • 423 Words
    • 2 Pages

    Week# 2 Accounting

    California Surplus Inc. qualifies to use the installment-sales method for tax purposes and sold an investment on an installment basis. The total gain of $75000 was reported for financial reporting purposes in the period of sale. The installment period is 3 years; one-third of the sale price is collected in 2012 and the rest in 2013. The tax rate was 35% in 2012, and 30% in 2013 and 30% in 2014. The accounting and tax data is shown below.…

    • 423 Words
    • 2 Pages
    Satisfactory Essays
    Read More
  • Good Essays

    The Pay Model: A Case Study
    • 532 Words
    • 3 Pages

    The Pay Model: A Case Study

    One of the major changes in health care is the payment model. The hospital and doctors has moved from a fee-for-service to a fee-for-outcome payment model. Medicare is a major part of health care that provide coverage to seniors and disabled Americans. In 2014, $362 billion was paid to caregivers through the program. But, in recent years, Medicare has been a victim of fraud and abuse. To address these problems, the government encouraged providers to adopt a new service models like " accountable care organization, patient-centered medical homes and other integrated networks" - but not sure if private insures follow the advice (Clarke, 2015).…

    • 532 Words
    • 3 Pages
    Good Essays
    Read More
  • Good Essays

    Case 15-12 Debt Versus Equity
    • 750 Words
    • 3 Pages

    Case 15-12 Debt Versus Equity

    The entity theory was among the first new theories of ownership. (Schroeder, Clark, & Cathey, 2009, page 499). It depicts the accounting equation as assets equals equity (Schroeder, Clark, & Cathey, 2009, page 363). It makes no distinction between debt and equity (Schroeder, Clark, & Cathey, 2009, page 500). Entity theorist believe that companies’ accounting should be prepared from the accounting entity’s view instead of in the interest of the shareholders. According to the entity theory, there is no fundamental difference between liabilities and owners equity. Both provide capital to the business entity and receive income in return in the form of interest and dividends (Schroeder, Clark, & Cathey, 2009, page 363). Under entity theory, liabilities and equity would require separate line disclosure in the balance sheet, but there would be no subtotals for total liabilities or total equity. (Schroeder, Clark, & Cathey, 2009, page 363).…

    • 750 Words
    • 3 Pages
    Good Essays
    Read More
  • Powerful Essays

    Earnings Managements
    • 12485 Words
    • 82 Pages

    Earnings Managements

    areas such as this of using empirical analysis of hard data, with good experimental design…

    • 12485 Words
    • 82 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    Managing Financial Assignment
    • 3845 Words
    • 16 Pages

    Managing Financial Assignment

    Also we know there are a number of ways of raising finance for a business. The type of finance chosen depends on the nature of the business.…

    • 3845 Words
    • 16 Pages
    Powerful Essays
    Read More
  • Good Essays

    Internal and External Equity
    • 880 Words
    • 4 Pages

    Internal and External Equity

    Equity as it applies to compensation plans used by employers refers to the exchange of service for compensation that employees make with their employers. Total compensation systems take into consideration all things of value given by an employer to an employee in exchange for his or her service in a specified role (Romanoff, Boehm & Benson). Total compensation systems include not only salary or wages, but also insurance, retirement plans, tuition assistance, child care, corporate discounts arranged with other companies, and even coffee in the break room. The design of total compensation systems must take many items and services into consideration when identifying what will attract and retain employees of the quality the organization in question hopes to attract (Romanoff, Boehm & Benson). Often these goals can conflict with one another and organizations must focus on what is more important to their employee engagement strategy. This paper will discuss two companies whose opposing views with regard to total compensation illustrate the differences between a focus on internal equity and one on external equity.…

    • 880 Words
    • 4 Pages
    Good Essays
    Read More
  • Good Essays

    Debt and Equity
    • 414 Words
    • 2 Pages

    Debt and Equity

    Long-term financing requires a meticulous understanding of the various features of debt and equity and their impact an organization. While evaluating debt and equity, an investment banker also has to consider the unique characteristics of the organization's dealings while ensuring that the organization's requirements are met.…

    • 414 Words
    • 2 Pages
    Good Essays
    Read More
  • Good Essays

    Study on Equity Pedogogy
    • 618 Words
    • 3 Pages

    Study on Equity Pedogogy

    Equity pedagogy is defined by the Banks and Banks article as teaching strategies and classroom environments that help students from diverse racial, ethnic and cultural groups attain the knowledge, skills, and attitudes needed to function effectively within, and help create and perpetuate, a just, humane and democratic society. The student learns through a process of knowledge construction and production. The goal for the student is the ability to be reflective and active citizens who use their skills to become effective agents for social change. According to the authors, equity pedagogy cannot exist in schools where there is inequality, racism or sexism. Banks and Banks state that equity pedagogy is a dynamic instructional process that focuses on the techniques and methods of teaching as well as the context in which they are used. Teaching strategies that facilitate the learning process are suggested and the authors lists cooperative learning as an example…

    • 618 Words
    • 3 Pages
    Good Essays
    Read More
  • Better Essays

    Earnings Management
    • 2051 Words
    • 9 Pages

    Earnings Management

    Accounting is one of the most important parts of a business. Accounting information help investors predict the cash flows of the company and help them estimate their risk in investing in them. Shareholders of a company have a right to demand information about the financial stability of the company and managers satisfy this requirement with accounting information and reports (Ronen and Yaari 7). Earnings management has been a very controversial topic among business enterprises. In the accounting world, earnings management is increasing becoming an area of interest to many people including government regulators, SEC and stakeholders. Earnings management is defined as the use of accounting techniques to produce financial reports that may paint an overly positive picture of a company’s financial position (“Earnings Management” 1). Ethics and integrity are key aspects of earnings management and people believe that professionals that use earnings management to manipulate their company’s financial standings are not being ethical nor do they have integrity. Much research has been done to understand what drives companies to use earnings management and the methods that are used. Even though companies believe that using earning management will help them shine in the eyes of their stockholders, using it may bring many negative consequences. Training our future accountants and teaching them how to make ethical decisions regarding earnings management is key and should be integrated into their education. This is very important because at the end, using earnings management affects the quality of earnings being reported and manipulates many groups of people.…

    • 2051 Words
    • 9 Pages
    Better Essays
    Read More
  • Powerful Essays

    Equity
    • 1838 Words
    • 8 Pages

    Equity

    Equity means social justice or fairness; it is an ethical concept, grounded in principles of distributive justice.39–[->0]42[->1] Equity in health can be—and has widely been—defined as the absence of socially unjust or unfair health disparities.1,[->2]6[->3] However, because social justice and fairness can be interpreted differently by different people in different settings, a definition is needed that can be operationalised based on measurable criteria.…

    • 1838 Words
    • 8 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    Managing Financial Decisions 1 3

    • 3611 Words
    • 24 Pages

    Managing Financial Decisions 1 3

    In this assessment you will have the opportunity to present evidence that shows you are able to:…

    • 3611 Words
    • 24 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    COMPENSATION ADMINISTRATION final essay
    • 1415 Words
    • 4 Pages

    COMPENSATION ADMINISTRATION final essay

    1.) Exempt jobs are not subject to provisions of the FLSA with respect to minimum wage and overtime. Exempt employees include most executives, administrators, professionals, and outside sales representatives. Nonexempt employees are those who are subject to the provisions of the FLSA. To qualify for any of the preceding exemption categories, all of the pertaining tests must be met. Because of their duties, responsibilities, and salaries, employees in exempt jobs are not covered by the overtime provision of the FLSA. "Exempt" is not a title, but a legal classification based largely on job content. Exempt staffs are compensated on a salary basis without deductions for quality or quantity of work, except as permitted under the FLSA. Employees in nonexempt jobs are covered by the overtime provisions in the FLSA and must be paid overtime at one and a half times the regular rate for all hours worked over 40 per pay period. Most problems occur for employers when they have employees in exempt status that do not meet all the necessary requirements for exemption. This can result in lawsuits as seen with Merrill Lynch when they reached a $37 million settlement for not paying overtime to a nonexempt financial analyst that what classified under the administrative exemption. Employees experience a dock in pay when they are misclassified as exempt. They can be over worked and taken advantage of under the exempt status, even when they are rightly classified. Employers face an issue of poor quality of work when they have employees that are being worked long hours without overtime pay.…

    • 1415 Words
    • 4 Pages
    Powerful Essays
    Read More
  • Satisfactory Essays

    Six dangerous myths about pay
    • 793 Words
    • 5 Pages

    Six dangerous myths about pay

    What are the Myths? What is your answer? Q: Consider two groups of Steel minimills. One group pays an average hourly wage of $18.07.…

    • 793 Words
    • 5 Pages
    Satisfactory Essays
    Read More

Related Topics