Kirsten Scheurer Branigan, Carole Lynn Nowicki, and Beth P. Zoller co-authored an article entitled “A ‘Lookback’ on New Jersey’s Diane B. Allen Equal Pay Act and the Road Ahead” that discusses the historic Diane B. Allen Equal Pay Act (Diane B. Allen EPA), enacted nearly four years ago, which amended Title 34 regarding Wage Discrimination and the New Jersey Law Against Discrimination, and took effect on July 1, 2018.
Since the passage of the Diane B. Allen EPA, employees are bringing expansive equal pay claims against private and public sectors employers. Employers must be vigilant in ensuring that compensation disparities do not occur based upon gender and other protected categories under the law. Equal pay lawsuits can result in significant exposure, especially given evolving laws that afford broader protections and expanded damages and penalties, such as those under the Diane B. Allen EPA.
Self-evaluation EPA Audits are important tools to limit exposure and damages, but also to ensure pay equity among employees. During EPA Audits, a data assessment is performed as to demographics, compensation, roles, duties, skills, effort, responsibilities, and protected category status for the purpose of determining compensation disparities.
Post-EPA Audit Legal Assessments are likewise critical. These Legal Assessments can involve analyzing underlying support for disparities identified, the applicability of possible employer defenses, and the strength of those defenses based on the data provided. This process involves an assessment of statutory factors, seniority/merit-based systems, and other asserted reasons.
To ensure compliance with equal pay laws, EPA Training is key for legal and compliance personnel, human resources, and business leaders involved in the hiring process and decisions regarding compensation and benefits in order to avoid disparities and areas of risk.
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This summary is for informational purposes only and is not intended to constitute legal advice. This information should not be reused without permission.
