Tagged: Equal Pay Act

Supreme Court Asked to Decide Prior Salary/Equal Pay Act Issue

The Fresno County Office of Education has requested the Supreme Court to hear an appeal from an en banc decision of the Ninth Circuit Court of Appeals holding that the Equal Pay Act (“the EPA”) prohibits an employer when setting the compensation of a female employee from considering her compensation at her prior job. If the Supreme Court agrees to hear the County’s appeal, it will be the second time the case will come before the Supreme Court. Previously, the Supreme Court vacated the Ninth Circuit’s decision because one of the appellate court judges who considered Fresno County’s appeal passed away, and was not replaced before the Ninth Circuit issued its opinion. Given that there is now a properly issued Ninth Circuit opinion, and given a split among the Courts of Appeals over whether and under what circumstances the EPA permits a new employer’s consideration of a woman’s prior salary when setting compensation, it seems likely that the Supreme Court will take up the case. Background After teaching middle school for a number of years, Aileen Rizo was hired by Fresno County as a math consultant. The county employed a twelve-level job classification system and each level was comprised of a ten-step salary schedule. In accordance with its standard operating procedures, the County determined Rizo’s...

Ninth Circuit Holds Salary History Does Not Justify Wage Differences Between Male and Female Employees

In a precedential en banc opinion, Rizo v. Yovino, the U.S. Court of Appeals for the Ninth Circuit determined that an employee’s prior salary cannot justify a wage differential between male and female employees under the Equal Pay Act. Significantly, this decision overrules established prior Ninth Circuit precedent that an employee’s prior salary constitutes a “factor other than sex” under the Act upon which a wage differential may be based. Background The Plaintiff, Aileen Rizo, was hired by the Fresno County Office of Education in 2009 as a math consultant. At the time of her hire, her starting salary was determined in accordance with Fresno’s standard operating policy which provided that the salary for all new hires would be set by adding five percent to their previous salary. In or about 2012, Rizo learned that male colleagues who were hired after her were earning more than she. In 2014, Rizo filed a lawsuit against Jim Yovino in his official capacity as the Superintendent of the Fresno County Office of Education alleging violations of the Equal Pay Act, Title VII, and California law. At the District Court, Fresno admitted that it paid Rizo less than her male colleagues for the same work, but argued that the pay differential was permissible based on the Equal Pay Act’s...

New Jersey’s Legislature Attempts to Override Governor’s Objections to “Equal Pay” Bill

The sponsors of pay equity legislation passed by the New Jersey Senate and Assembly earlier this year have announced that the State Senate will attempt to override Governor Christie’s veto of the bill on December 19, 2016. Senate Bill 992/Assembly Bill 2750 would amend the Law Against Discrimination (“LAD”) to promote gender pay equality. The New Jersey bill follows a trend of recently enacted state laws, in California, New York, Maryland, and Massachusetts, that aim to make it easier for plaintiffs to bring pay equity claims and subject employers to potentially greater damages.