HR professionals who manage compensation use their professional judgment to consider a number of legitimate factors in creating fair and equitable compensation systems. These include experience, education, profitability, merit, productivity, prior salary history and location. The Paycheck Fairness Act (PFA) would allow the Federal government to second-guess employer pay practices in a few concerning ways…
Senator Barbara Mikulski (D-MD) introduced S. 3220, the Paycheck Fairness Act, on May 22, 2012. The Senate plans to vote on S. 3220 during the week of June 4-8.
While I am strongly committed to preventing and resolving any form of workplace discrimination, including pay disparities between women and men, I believe wages should be determined by the market, type of position, education of the employee and the employer needs, not by the government. The Paycheck Fairness Act would threaten the tools that HR professionals use to reward and retain their employees. The bill would also have a negative impact on employee privacy by encouraging employees to publicize their colleagues’ wages.
We encourage you to share your thoughts with your local representatives prior to June 4th, 2012.
UPDATE: The Senate voted down this bill on June 5th.