Login

The Equal Pay Act of 1963 prohibits sex-based wage discrimination between men and women in the same workplace who perform jobs that require substantially equal skill, effort, and responsibility under similar working conditions. Under this Act, employers may not pay disproportionate wage to employees of the opposite sex for equal work. Since this Act's enactment, many states have passed their own equal pay laws. While it has been more than 50 years since the Equal Pay Act, wage inequality between sexes is still a relevant topic. Since the 1970s, the wage disparity has decreased. However, according to the Bureau of Labor Statistic data, in 2020, women's annual earnings were 83.3% of men's. This gap is even greater for many women of color.

Locally, the State of Illinois has updated its equal pay reporting and compliance requirements again. Effective since June 25, 2021, the Illinois Equal Pay Act has been amended to expand certain reporting requirements. Under this act, covered employers must regularly apply for an equal pay registration certificate, submit a statement certifying their compliance, submit their most recent Employer Information Report EEO-1, and compile and submit demographic data and wage records.

On the federal level, the Biden administration was expressed support with Congress's legislative focus to strengthen pay equity between men and women. The Paycheck Fairness Act addresses wage discrimination on the basis of sex. Among other things, this act limits an employer's defense that a pay difference is based only on bona fide job-related factors, enhances nonretaliation prohibitions, and makes it unlawful to require an employee to sign a contract or waiver prohibiting the employee from disclosing information about the employee's wages. This bill also increases civil penalties for violations of equal pay provisions. This bill has passed the house of representatives and awaits the Senate's approval.

Disclaimer: The materials in Asonye & Associates web site have been prepared to permit visitors to our web site to learn more about the services we offer. These materials do not, and are not intended to, constitute legal advice. Neither transmission nor receipt of such materials will create an attorney-client relationship between the sender and receiver. Internet subscribers and online readers are advised not to take or refrain from taking any action based upon materials in this web site without consulting legal counsel. We do not undertake to update any materials in our Web Site to reflect subsequent legal or other developments.

-->