A battle to close the gender pay gap
The U.S. House of Representatives passed legislation aimed at reducing gender-based pay discrimination, narrowing the gender-wage gap and increasing employer accountability. However, the measure faces little chance of overcoming Republican opposition in the Senate.
The Paycheck Fairness Act would increase penalties for violations of a federal law that already prohibits gender-based wage discrimination, enhance prohibitions to prevent retaliation against workers who lodge a discrimination complaint and bans contracts that block employees from sharing their salaries.
Also, the new bill, which is supported by the Biden administration, would further direct the Labor Department to establish a grant program providing negotiation skills and training for girls and women.
BILL WILL PROBABLY STALL IN SENATE
However, the bill will probably stall in the Senate, where it faces Republican opposition. It has been met with opposition also from some business groups, who argue it could threaten bonuses, prohibit employees from negotiating higher pay and make it easier for “trial lawyers to file large class-action suits against employers.”
Rep. Rosa DeLauro, the chairwoman of the House Appropriations Committee who has introduced the bill in every session of Congress since 1997, argued that the measures outlined in the legislation would help close the gender pay gap. “I cannot tell you how difficult it has been to break through on something so simple, so simple: Men and women in the same job deserve the same pay,” DeLauro said.
THE STATE OF THE GENDER PAY GAP
According to the U.S. Bureau of Labor Statistics, women made about 82% of men’s earnings in 2020 – a gap that is even wider for women of color. Black and Latina women with bachelor’s degrees made 65% while Black women with advanced degrees earned 70% compared with white men at the same education level.
THE SITUATION IN EU
On the other side of the Atlantic, women in the European Union earn on average 14.1% less than their male colleagues, according to statistics from EU’s statistical office Eurostat.
Aiming to fight the gender pay gap, the European Commission has presented a proposal on pay transparency. The proposal sets out pay transparency measures, such as pay information for job seekers, a right to know the pay levels for workers doing the same work, as well as gender pay gap reporting obligations for big companies.
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