Michigan Equal Pay - Administration and Enforcement Checklist

State:
Multi-State
Control #:
US-169EM
Format:
Word; 
Rich Text
Instant download

Description

This checklist assists management in self-auditing equal pay policies within the company.
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FAQ

The Equal Pay Act requires that men and women in the same workplace be given equal pay for equal work. The jobs need not be identical, but they must be substantially equal. Job content (not job titles) determines whether jobs are substantially equal.

Under the current law, an employer can defeat an Equal Pay Act claim by proving that the difference in pay for substantially similar work is due to:seniority;merit;a system that measures production; and/or.a bona fide factor other than sex, race, or ethnicity.

Here are five ways you can ensure equal pay on your team:Prevent salary disparities before making new hires.Review employee compensation on a regular basis.Separate compensation reviews from performance reviews.Disclose salary ranges for different positions and levels.Advocate for your people.

Equal Pay for Equal WorkPay equity compares the value and pay of different jobs, such as nurse and electrician. 200bEqual pay compares the pay of similar jobs.

What are unfair wages? Unfair wages mean an employer does not fairly compensate their workers. The category unfair wages covers several types of workplace violations, including wage theft, failing to pay minimum wage, or withholding overtime pay. Discrimination in compensation also qualifies as unfair wages.

The key feature of the Act is that it requires most federally regulated employers with 10 or more employees to develop a proactive Pay Equity Plan for its employees. The Act outlines the content that must be included in the Plan.

There are several elements that must be met in compensation discrimination complaints under the Equal Pay Act. The jobs being compared must require substantially equal skill, effort, and responsibility and be performed under similar working conditions within the same establishment.

Justification for differences in salaries may be based on employee skills and qualifications, job tasks, tenure and geographic locale. Salary differences also may be justified according to company size or the number of employees a company has.

Here are five ways you can ensure equal pay on your team:Prevent salary disparities before making new hires.Review employee compensation on a regular basis.Separate compensation reviews from performance reviews.Disclose salary ranges for different positions and levels.Advocate for your people.

To address pay inequities, HR professionals and other experts suggest the following actions:Get buy-in from the C-suite.Conduct a pay audit.Work smart.Stop asking for pay history.Look through a diversity, equity and inclusion lens.Practice transparency.Talk about it.Limit manager discretion.

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Michigan Equal Pay - Administration and Enforcement Checklist