webinar-going beyond the california fair pay act

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  • The California Fair Pay Act: Ripple Effects on Your Business

    Mykkah Herner, MA, CCPModern Compensation Evangelist

    Angela Ulman, CCPCompensation Professional

  • www.payscale.com

    15,000 Positions 3500 Customers 11 Countries

    250 Compensable Factors54Million Salary Profiles

  • www.payscale.com

    Agenda

    The California Fair Pay Act

    o Why does it matter to me?

    o Compliance

    o Other Pay Equity Laws

    Going beyond mere compliance

    What should I do first?

  • Legal Disclaimer: this is intended to be informational, not to serve as legal advice. If you think you have a potential pay discrimination issue, seek out a lawyer.

  • www.payscale.com

    Why should the California Fair Pay Act matter to you?

  • As California Goes

    so goes the nation.

  • My company is in Mississippi!

    But I do have that one employee in California.

  • www.payscale.com

    What do you need to know in order to comply with the California Fair Pay Act?

  • www.payscale.com

    3 main changes

    Definition Secrecy Burden of Proof

  • www.payscale.com

    Deeper definition of Fair Pay

    Same work requiring same skill, effort, responsibilities, and working conditions

    Across all locations

  • www.payscale.com

    Pay Secrecy is unacceptable

    Communicate their own pay

    Talk about other peoples pay *

    Inquire about other peoples pay *

    No imperative in the law to disclose anything

  • www.payscale.com

    Increased Burden of Proof

    of pay difference between men and women must be demonstrated to stem from one or combination of

    Merit Process

    Seniority Process

    Production quality or quantity Process

    Bona fide factor other than sex

  • Implications of 100 Proof

    Clear & documented process for determining hiring rates

    Clear & documented process for allocating increases

    Rationale for differences must be captured

  • This isnt the time to give up

    Image from http://www.havingtime.com/10-reasons-you-should-never-give-up/

    on Pay for Performance!

  • www.payscale.com

    Increased Burden - bonus proof

    Keep your records for 3 years now!

  • www.payscale.com

    What other pay equity laws should you be aware of?

  • Turns out 48/50 States have some version of a pay equity law on the books

  • www.payscale.com

    New Yorks Equity Law 1/19/2016

    Definition: similar work under similar conditions; rationale for differential pay updated to bona fide factor other than sex, such as education training or experience

    Secrecy: NY added the right to inquire about, disclose, and discuss wages

    Proof: burden of proof is on the employer, and the penalty for getting it wrong is big

  • www.payscale.com

    Canada has it going on

    Employer has burden of proof Manitoba New Brunswick Nova Scotia Prince Edward Island Ontario QuebecPolicy framework for negotiating pay Saskatchewan Newfoundland British Columbia

  • www.payscale.com

    Sneak peak into proposed reporting

    *Proposed* by EEOC 100+ EE employers Adds 12 pay bands to existing EEO-1 report Report #EEs on one grid, #Hours on the other First report due 9/30/2017

  • www.payscale.com

    Going beyond mere compliance

  • Its about way more

    than compliance

  • Lets dig deeper

    http://www.payscale.com/data-packages/gender-pay-gap

  • Why is the difference so big in the uncontrolled gap?

    http://www.payscale.com/data-packages/gender-pay-gap

  • 5 factors that affect the gender wage gap:

    http://www.payscale.com/data-packages/gender-pay-gap

    Job Type Job Level Compensable Factors Marriage & Family Unconscious Bias

  • www.payscale.com

    Go beyond compliance with fair pay

    Similar work by similar people* Leadership roles STEM jobs Workplace currency & Systematic Bias Go beyond 2 genders Aiming for fairness now prepares you for

    future legislation

  • Top companies report gender pay data

    Source: http://www.informationisbeautiful.net/visualizations/diversity-in-tech/ Dec 2014

    http://www.informationisbeautiful.net/visualizations/diversity-in-tech/

  • http://fortune.com/2015/07/30/tech-companies-diveristy/http://fortune.com/2015/07/30/tech-companies-diveristy/https://garage.godaddy.com/godaddy/news/godaddy-2015-gender-diversity-and-salary-stats-infographic/https://garage.godaddy.com/godaddy/news/godaddy-2015-gender-diversity-and-salary-stats-infographic/

  • www.payscale.com

    Paying fairly is brag worthy

    External branding Internal branding or EVP

  • Millennials arent just employees

  • www.payscale.com

    Its a VUCA world

  • www.payscale.com

    Paying Fairly leads to business results

    Make a business case Its beyond nice, its necessary! Oh the millennials Companies that dont change will fail

  • www.payscale.com

    Where do you start?

  • www.payscale.com

    Have a compensation plan Conduct an audit now Review and update all documentation Train executives, managers, and employees Go *far* beyond compliance

  • PayScale Delivers Where Other Compensation Providers Fall Short

    PayScale leads the world in compensation knowledge with the freshest and most detailed data from over 54 million salary profiles. More than 3500 organizations use PayScales software and intelligence to get the greatest return on their talent. Smart businesses use PayScale Insight to recruit, retain and motivate their people.

    Visit our blog: www.payscale.com/compensation-todayJoin our Group on LinkedIn: Compensation Today: HR Best Practices

    Mykkah Herner, MA, CCPModern Compensation Evangelist

    Angela Ulman, CCPCompensation Professional

    www.payscale.com

    The California Fair Pay Act: Ripple Effects on Your BusinessSlide Number 2AgendaLegal Disclaimer: this is intended to be informational, not to serve as legal advice. If you think you have a potential pay discrimination issue, seek out a lawyer. Why should the California Fair Pay Act matter to you?Slide Number 6Slide Number 7What do you need to know in order to comply with the California Fair Pay Act?3 main changesDeeper definition of Fair PayPay Secrecy is unacceptableIncreased Burden of ProofImplications of 100 ProofThis isnt the time to give upIncreased Burden - bonus proofWhat other pay equity laws should you be aware of?Slide Number 17New Yorks Equity Law 1/19/2016Canada has it going onSneak peak into proposed reportingGoing beyond mere complianceIts about way more than complianceLets dig deeperWhy is the difference so big in the uncontrolled gap?5 factors that affect the gender wage gap:Go beyond compliance with fair payTop companies report gender pay dataSlide Number 28Paying fairly is brag worthyMillennials arent just employeesSlide Number 31Paying Fairly leads to business resultsWhere do you start?Slide Number 34Slide Number 35

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