Us Congress 2023-2024 Regular Session

Us Congress Senate Bill SB728

Introduced
3/9/23  
Refer
3/9/23  

Caption

Paycheck Fairness Act

Impact

The proposed bill would improve state laws concerning wage discrimination by enhancing penalties for violations and making it unlawful for employers to rely on a prospective employee's wage history in hiring decisions. This could lead to significant changes in how employers approach wage-setting practices. Additionally, it encourages negotiation skills training aimed at reducing pay disparities, particularly among women and minority groups, while mandating transparency in employer pay practices.

Summary

SB728, also known as the Paycheck Fairness Act, seeks to amend the Fair Labor Standards Act of 1938, focusing on providing more effective remedies to individuals facing wage discrimination based on sex. The bill highlights persistent pay disparities that adversely affect women and girls of color, asserting the need for modifications to the Equal Pay Act of 1963, which has not fully addressed the issues of wage discrimination. By enhancing legal protections and remedies, the legislation aims to bolster women's economic security and ensure equal pay for equal work.

Sentiment

The general sentiment surrounding SB728 is largely supportive among proponents who believe that it addresses systemic discrimination and supports economic equality for women. However, there is contention, primarily from some business organizations and conservative groups who argue that the bill could impose undue burdens on employers and complicate hiring processes. The debate reflects broader societal issues regarding gender equality and the role of government in regulating pay practices.

Contention

Notable points of contention revolve around the bill’s implications for employer flexibility in compensation settings, particularly regarding the prohibition of using wage history in salary negotiations. Critics argue that this could hinder their ability to make informed hiring decisions and may inadvertently disadvantage some job applicants. Furthermore, the call for enhanced penalties for discrimination raises concerns about enforcement and potential litigation burdens for employers, contributing to an ongoing discussion about the balance between employee protections and business interests.

Companion Bills

US HB1600

Related Pay Equity for All Act of 2023

Similar Bills

US HB17

Paycheck Fairness Act This bill addresses wage discrimination on the basis of sex, which is defined to include pregnancy, sexual orientation, gender identity, and sex characteristics. Specifically, it limits an employer's defense that a pay differential is based on a factor other than sex to only bona fide job-related factors in wage discrimination claims, 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. The bill also increases civil penalties for violations of equal pay provisions. Additionally, the Equal Employment Opportunity Commission (EEOC) and the Office of Federal Contract Compliance Programs must train EEOC employees and other affected parties on wage discrimination. The bill directs the Department of Labor to (1) establish and carry out a grant program to provide training in negotiation skills related to compensation and equitable working conditions, (2) conduct studies to eliminate pay disparities between men and women, and (3) make available information on wage discrimination to assist the public in understanding and addressing such discrimination. The bill establishes the National Award for Pay Equity in the Workplace for an employer who has made a substantial effort to eliminate pay disparities between men and women. It also establishes the National Equal Pay Enforcement Task Force to address compliance, public education, and enforcement of equal pay laws. Finally, the bill requires the EEOC to issue regulations for collecting from employers compensation and other employment data according to the sex, race, and national origin of employees for use in enforcing laws prohibiting pay discrimination.

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