Find Out How Much the Pay Gap Will
Cost YOU at the AFL-CIO Equal Pay Site
Imagine having to work 30 percent longer
each day, almost 2-and-a-half hours more, to earn pay comparable to a co-worker down the
hall. Or 6-and-a-half days a week instead of five. Or fifteen extra weeks a year. This is
what happens to millions of American women each day, each week and each year.
"I was a head nurse when I got
involved in the pay equity project more than 16 years ago. Now I'm paid according to what
I do, not according to who I am."
Cindy, 49 year-old nurse supervisor
Pay scales in most workplaces were designed
back in the days when it was assumed that men were breadwinners and women who worked
brought home only "pin money." Those were also the days when it was common
practice to pay according to the gender and race of workers rather than job content.
· White women lose 26 cents for every
dollar that their male co-workers earn today, an improvement of only 10 cents over 41
years! African American women lose 37 cents on the dollar, and Hispanic women lose 46
cents.
· At the rate the wage gap has changed over the past 15 years, it will take until 2038 to
close the gap.
· If current wage patterns continue, the average 25 year-old female will earn $523,000
less than the average 25 year-old male over the next 40 years. That money could have
bought her a home, educated her children and allowed her to set money aside for
retirement.
WHAT IS PAY EQUITY?
The concept of pay equity, meaning equal pay for jobs of equal value, refers to a set of
remedies designed to raise the wages of jobs that are undervalued at least partly because
of the sex or race of the workers who hold those jobs. More specifically, it refers to
equitable compensation to women in traditionally "female" jobs (secretary,
nurse, librarian, for example), as compared to "male" jobs that require
equivalent skills, effort and responsibility.
WHY YOU SHOULD CARE?
Study after study has shown that despite increased educational attainment and experience,
women and people of color are still paid less than white men.
· White men with a high school education
earn nearly as much as white women and people of color who have college degrees. Among
recent college graduates, women earn 16 percent less in annual earnings than men. Among
graduates with a masters degree, women earn 40 percent less.
The wage gap between women's and men's
earnings is smallest at younger ages and increases with age. Economic insecurity for women
in retirement is clearly a problem of increasing concern as the U.S. faces a substantial
aging population.
· Lower lifetime earnings for women
translates into lower pensions and social security income for women in their senior years,
and contributes to a higher poverty rate for elderly women.
"The idea of spending a lifetime
working hard at a job you enjoy and then retiring into poverty is not a good thing. Now, I
can look forward to a retirement with dignity."
Laura Smith, a 38-year-old editorial assistant
The increasing importance of mothers'
earnings is undeniable. Employers and the general public conveniently forget that we are
in times when women must also support the family, even when there are two wage-earners in
the home.
"I depended on Medicaid, fuel
assistance, school lunch tickets and free government commodities such as cheese, rice and
dried milk. Pay equity has lifted me from the level where I was constantly struggling. It
has meant the difference between really being on the edge of poverty to being
self-supporting."
Karen, clerk/typist and single mother
Women have been and continue to be essential
and productive contributors to the global economy, whether they are married, divorced or
single. Their work in both traditional roles and gender-bending ones needs remuneration
that represents the true value of the work itself. Thus, the bottom line issue about which
we must remind employers and politicians is justice.
WHAT CAN BE DONE?
There are many solutions to unfair pay, involving a wide range of actors: research
institutions, women's organizations, minority advocacy groups, businesses, unions,
universities, elected government officials and administrators. Within this group, the main
players are businesses, your state and federal government, unions and you.
What Businesses can do: Job
evaluation strategies and Pay scale adjustmentsThe direct impact of these reforms is to
discover whether the jobs typically held by women or minorities are underpaid -- paid less
than jobs typically held by white males that are comparable in the skill, effort,
responsibility, or working conditions that they entail - and then adjusting for the
differences.
The indirect impact is to increase
purchasing power and strengthen the economy. Tackling pay equity issues within a business
also boosts morale, and makes way for increased productivity. Many employers are beginning
to realize that if they don't increase the pay for predominantly female jobs, they can no
longer attract and retain a skilled workforce.
What States can do: Payroll
adjustments, New legislation and Stronger enforcement
Pay equity is a growing national movement. Twenty states have made some adjustments of
payrolls to correct sex or race bias. Analyzing and remedying wage inequity is not
complicated, and it is not expensive. State employee payroll adjustments can bring savings
to taxpayers at surprisingly minimum costs.
At the federal level, laws preventing wage
discrimination are on the books. However, they are poorly enforced and are extremely
difficult to prove and win. Stronger legislation is needed to clarify the right to pay
equity.
What Unions can do: Make
businesses accountable
The right to form and participate in unions has been an important ingredient of most fair
pay or pay equity adjustments. Union membership is important for women because coverage
under a collective bargaining agreement is associated with higher wages and longer job
tenure, as well as a smaller pay gap between men and women.
What you can do: Make the
laws work for you
The first part of understanding pay equity issues in your workplace is knowing that pay
equity is the law. Two laws protect workers against wage discrimination. The Equal Pay Act
of 1963 prohibits unequal pay for equal or "substantially equal" work performed
by men and women. Title VII of the Civil Rights Act of 1964 prohibits wage discrimination
on the basis of race, color, sex, religion or national origin. In 1981, the Supreme Court
made it clear that Title VII is broader than the Equal Pay Act, and prohibits wage
discrimination even when the jobs are not identical. For the last three years, the Fair
Pay Act has been introduced in the House of Representatives by Congresswoman Eleanor
Holmes Norton, and in the Senate by Senator Tom Harkin. The Fair Pay Act would have
expanded the Equal Pay Act's protections against wage discrimination to workers in
equivalent jobs with comparable skills, efforts and responsibilities, even if the jobs are
not identical. In addition, the Paycheck Fairness Act has been introduced in the Senate by
Senator Tom Daschle and in the House by Congresswoman Rosa Delauro.
Call or write to your local representatives
to see where they stand on pay equity. Enlist their support in co-sponsoring pay equity
bills and remind them how important this issue is to you. Make your elected officials
accountable to your equity concerns by introducing and supporting bills, rather than
merely verbally opposing pay discrimination.
Women in the private sector often aren't
aware of what they should be earning relative to others in similar jobs. Women need to be
more assertive in negotiating their salaries, or in requesting employers to give job
classification information. Employers have the responsibility to reveal such information.
Inform yourself of the equity issues in your workplace and inquire about litigation and
other options when your employer has denied you fair pay and economic justice.
Decades after the passage of the Equal Pay
Act and Title VII, women and people of color continue to suffer the consequences of unfair
pay. Ensuring fair pay is an essential part of helping women and their families become and
remain self-sufficient.
INSTITUTIONAL RESOURCES
The following organizations can help you bring the pay scales into true balance.
Feel free to contact them for information or advice regarding strategies of action or
models of effective pay equity programs.
Find Out How Much the Pay Gap Will Cost
YOU at the AFL-CIO Equal Pay Site
Women's Bureau Fair Pay Clearinghouse was
created by the U.S. Department of Labor to provide information to help working women and
men, employers and other organizations to improve pay scales. The Clearinghouse will give
you the right tools to know what the facts are, to know your rights, and to learn what
works. Contact them at 1-800-347-3741. The Clearinghouse also has a regional office in
Denver. (303) 844-1286. Visit them at their website: http://www.dol.gov/dol/wb/
The National Committee on Pay Equity (NCPE)
is a national membership coalition of over 170 organizations, including labor unions,
women's and civil rights organizations, religious, legal, educational and professional
associations, state and local pay equity networks, and individuals working to achieve pay
equity. Become a member and get access to pay equity networks, their newsletter, special
updates, and more. For more information, call (202) 331-7343. http://feminist.com/fairpay.htm
The Institute for Women's Policy Research
(IWPR) is a nonpartisan, scientific research organization that serves as a resource in the
public policy arena by providing statistically reliable data on issues from the
perspective of women, children and families. For follow up on these and other issues, call
the Institute at their Washington, D.C. office at (202) 785-5100. http://www.iwpr.org/
The Center for Policy Alternatives (CPA)
works to encourage progressive policies throughout the 50 states. CPA provides ideas,
strategies and advice to more than 6,000 state legislators, opinion leaders and advocates.
For questions call their D.C. office at (202) 387-6030. http://www.cfpa.org/
Colorado Women's Agenda (CWA) is a statewide
network that champions social, political and economic power for women through education,
advocacy and mobilization. Located in the Denver metro area, the CWA office is an
accessible local resource. Stop by or call them at (303) 873-7736. E-mail: cwagenda@womensagenda.org
9to5, National Association of Working Women
is a membership organization dedicated to strengthening low-wage working women's ability
to win economic justice through education, advocacy and activism. The Denver office of
9to5 can be reached at (303) 866-0925. http://www.quikpage.com/9/9to5naww
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