Employers cannot justify paying a woman less than a man because she was previously earning less.
“Equal Pay Day” is celebrated every April in the United States. It is the day that symbolizes how far into the year American women must work to earn what men earned in the previous work year. In the United States, women earn an average of 82 cents for every dollar paid to men, according to the Pew Research Center. While the gender pay gap is controversial to some, in many industries, female employees are simply paid less than male employees. A recent court decision from the U.S. Court of Appeals for the 9th Circuit may change this reality for some California workers.
In Rizo v. Fresno County Office of Education, Aileen Rizo, a female math consultant, sued her employer of three years, the Fresno County Office of Education, after discovering that her male colleagues made significantly higher salaries than she did — despite being less experienced. The Fresno County Office of Education admitted that Rizo’s salary was lower, and argued that it was justified because it was based on her prior salary. It further claimed that this has nothing to do with her gender.
Judge Stephen Reinhardt disagreed with this logic. Writing an opinion for the Ninth Circuit, he held that when employers consider prior salary in setting pay, they perpetuate gender disparities. They also violate the spirit of the Equal Pay Act. According to Judge Reinhardt, “The Equal Pay Act stands for a principle as simple as it is just: Men and women should receive equal pay for equal work regardless of sex.” He further held that prior salary cannot justify a difference in wages between male and female employees, either alone or in combination with other factors.
This decision represents new clarity in federal law regarding how employers can set salaries, and whether they can use prior salaries to base current salaries. However, according to a California employment discrimination attorney, multiple states — including California — have passed laws that prevent employers from requesting job applicants’ prior salaries.
As a skilled California employment discrimination attorney can explain, wage discrimination is just one form of discrimination that women may face at work. However, this type of discrimination is common across many sectors of the economy. This ruling will make it easier for women to attain fair wages, as they will no longer be tied to low wages from a previous job — and employers won’t be able to base their salary on an unfair wage from a prior position.
At PLBH, our seasoned California employment discrimination attorneys have more than 50 years of experience representing employees who have faced discrimination, harassment and retaliation in the workplace. We work hard to seek justice for our clients, and stand by their side throughout the process. Contact our firm today at (800) 435-7542 or info@plblaw.com to schedule a consultation and learn more about how we can help you.