Equal Pay for Equal Work US States Leading the Charge

Employees want reassurance that employers will pay them based on their skills and performance. The US has regulations around pay equity, both federal and state. Some states are leading the charge, helping to mitigate workplace discrimination and ensure equal pay for equal work. For pay equity to become a reality, it should become a national effort.

Understanding Pay Equity and Equal Pay Laws

People who perform jobs with similar skills, effort, and responsibilities deserve comparable compensation. They deserve pay equity. At Salary.com, we define pay equity as equal pay for comparable jobs that is internally equitable, externally competitive, and transparently communicated.

The 1963 Equal Pay Act (EPA) prohibited wage discrimination against women, making it illegal to pay women less than men for the same job. But little has changed and the issues continue today, whether it’s salary secrecy or unconscious bias.

Some states have chosen to pass stronger laws to build on the EPA. A few have banned the use of salary history in hiring, others require pay transparency, and some protect employees who discuss their pay. There’s still a lot of work to do, but they’re moving things in the right direction. Let’s look at three states with standout equal pay protections.

Standout States & Their Equal Pay Protections

California

• – Male and female employees performing “substantially similar” work must receive equal pay, even if their job titles differ or they work in different offices (2015)
• Employers must make salary ranges for a position available upon request (2017)
• Employers with 100+ employees who must file EEO-1 reports under federal law should also submit annual pay data reports, broken down by sex, race, ethnicity, and job category (2020)

New York

• – Expands “equal” work to “substantially similar” work, including skills, efforts, and responsibilities performed under similar working conditions (2019)
• Equal pay law prohibits employers from screening job applicant salary history to determine pay or employment opportunities (2019)
• Extends equal pay protections beyond sex to employees who belong to protected classes (age, race, national origin, sexual orientation, gender, disability, marital status) (2019)

Colorado

• protects employees from being discharged, disciplined, threatened, or discriminated against for disclosing or discussing their pay (2019)
• Employers must include hourly/salary compensation or a range of compensation and additional benefits for a position for every job posting – the first state to do this (2019)
• Victims of pay discrimination can receive up to three years of back pay and may recover liquidated damages equal to the back pay awarded (2019)

In 2020, the National Women’s Law Center compiled a thorough highlighting different state equal pay legislation.

What Needs to Happen to Achieve Pay Equity

Despite all these efforts, why do we still see inequality and discrimination in the workplace? There’s more we can be doing.

There needs to be more pay transparency. For pay equity, it’s crucial that employees understand how their company determines pay. Employers should clearly communicate compensation policies and reveal salary ranges for positions. For true transparency, an organization should encourage communication and empower employees to discuss pay concerns.

Unconscious bias is a major barrier to pay equity. shows that we do in fact make decisions without awareness. Hiring managers and executives require anti-bias training. This should be common practice. It will help raise awareness around stereotypes and alleviate their impact on women and other minorities.

Fair promotion practices will also assist in reducing unconscious bias. It’s important to establish a transparent awards system. Make it clear how employees can achieve promotions and leadership opportunities. Be mindful that equity is different from equality – some people require alternative or more support.

Making Pay Equity a National Priority

Achieving pay equity doesn’t need to be such a difficult feat. With stronger laws, more pay transparency, anti-bias training, and fair pay practices, we could leave this issue in the past. But it requires cooperation at all levels.

While certain states are taking matters into their own hands and passing stronger legislation, this really needs to be a national priority. This isn’t just a women’s issue - everyone deserves equal pay for equal work. Together we can make pay equity a reality across America.