Congressman Sander Levin

 
 
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For Immediate Release
July 31, 2008
  FOR MORE INFORMATION:
Cullen Schwarz
Office: 202.225.4961
 
Measure to Promote
Equal Pay for Women Approved
  Michigan Ranks 47th in Pay Equity for Women; Michigan Women Make Less than 70 Cents for Every Dollar
Earned by a Man for Similar Work
 
(Washington D.C.)-  The House of Representatives today passed legislation to help bridge the wide disparity in wages between men and women working in similar jobs. H.R. 1338, the Paycheck Fairness Act, strengthens the landmark Equal Pay Act signed by President Kennedy in 1963 and closes loopholes that have allowed employers to avoid penalty for discriminatory pay.  The measure passed by a vote of 247-178.  

“Wage discrimination is not just a women’s issue, it is a family issue,” said Congressman Sander Levin.  “Women in Michigan are paid less than 70 cents for every dollar earned by a man.  The cost of this income disparity is often borne not just by an individual, but by all the members of a household who rely on that income.  Equal pay is important to ensure not only equality for women, but also to better provide for families who depend on working mothers.”

Studies show that, on average, American women earn 77 cents for every dollar earned by a man in a similar position.  The wage gap is even wider in Michigan, with women paid only 69.8 cents for every dollar earned by a man.  Michigan ranks 47th among all states with regard to pay equity, according to the Institute for Women’s Policy Research.  The current pay disparity may cost a woman anywhere from $400,000 to $2 million in lifetime earnings relative to a man performing equivalent work. 

The Paycheck Fairness Act:

•    Requires that employers seeking to justify unequal pay bear the burden of proving that any gender disparities are job-related and consistent with a business necessity.
•    Prohibits employers from retaliating against employees who share salary information with their co-workers.
•    Puts gender-based discrimination sanctions on equal footing with other forms of wage discrimination – such as race, disability or age – by allowing women to sue for compensatory and punitive damages.
•    Requires the Department of Labor to enhance outreach and training efforts to work with employers in order to eliminate pay disparities.
•    Requires the Department of Labor to continue to collect and disseminate wage information based on gender.
•    Creates a new grant program to help strengthen the negotiation skills of girls and women.

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