A California federal district court recently gave final approval to a settlement of a pay equity class action in the amount of $24 million between the U.S. women's soccer team and the sport's national governing body. We've gathered articles on the news from SHRM Online and other media outlets.
Effect of Final Approval
The final approval brings an end, apart from a dispute over attorney fees, to a lawsuit filed by 28 U.S. women's national soccer team players. They claimed that the U.S. Soccer Federation Inc. paid women substantially less than the players on the men's team despite their greater success on the field. A judge had granted preliminary approval of the settlement in August.
The court still will consider whether the team's lawyers' $6.6 million share of the settlement is too large.
The Fight for Equal Pay
The two sides announced in February that they had settled the class-action lawsuit. The U.S. women's national soccer team's battle for equal pay began in 2016, when multiple players filed a complaint with the Equal Employment Opportunity Commission against the U.S. Soccer Federation over wage discrimination and unequal working conditions.
Their lawsuit alleged that U.S. female soccer players were paid less than male players despite superior performance on the field. For example, the women's team was paid nearly $2 million in bonuses after winning the World Cup in 2015, while the men's team was awarded more than $5 million despite being eliminated in their tournament, the lawsuit claims.
New Equal-Pay Laws
Pay equity is an issue of increasing importance in everyday workplaces. As business leaders focus on closing the gender pay gap and states enact broader laws covering fair pay for more workers, HR professionals may want to review their organization's compensation policies and practices.
"We're seeing an explosion of new equal-pay laws adopted by state legislatures," said Lynne Anderson, an attorney with Faegre Drinker in Florham Park, N.J.
Push for Pay Transparency
A growing number of employees want their companies to be more open about compensation to ensure women and people of color are treated fairly. At least 14 states and five cities have passed laws requiring such transparency. Institutional investors are also calling for more public disclosure.
New York City Joins Pay Transparency Trend
Effective Nov. 1, covered New York City employers now have to comply with New York City's pay transparency law. This legislation requires disclosure of salary ranges in job advertisements, rather than in offer letters or upon request from applicants or employees. The city law is similar to enactments in other jurisdictions, such as California, Colorado and Washington.
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