Race and Gender Equality in Hollywood, California has been at the forefront of swirling media headlines, as we are midway through Hollywood's biggest awards season. Allegations regarding the lack of diversity and the gender wage gap in the film industry are not only prevalent among Hollywood's elite but most concerning for everyday Americans.
The Equal Employment Opportunity Commission has definitely taken notice and has taken steps at proposing legislation to analyze pay trends and bridge the gap in pay inequities for those individuals who fall within a protected classification (i.e., race, color, gender, age (of those 40 and over), disability and genetic makeup) under the Title VII of the Civil Rights Act of 1964 (as amended by the Equal Employment Opportunity Act of 1972).
The proposed legislation published in the Federal Register on February 1, 2016 has moved to amend the current EEO-1 Form which is already required to be completed by private employers with 100 or more employees and by Federal Contract Employers who employ less than 100 employees. If the proposed legislation passes, those employers would now be required to provide the W2 earnings and hours worked for all employees. The reporting requirements have been proposed to assist the EEOC's analysis in assessing pay inequities and deterring employers from engaging in prohibited discriminatory practices in the workplace.
If the proposed legislation passes, employers would now be required to complete the updated form requirements as early as September 2017. What does this mean for those applicable employers? This legislation signifies the importance of maintaining an internal HR audit and ensuring that discriminatory behaviors are strictly forbidden and ensure that employees are being paid according to their skill set, performance and education among other company standards regardless of their race, national origin, gender or any other equally important protected classifications. What does this mean for employers who are not subject to the proposed EEO-1 reporting? Although you may not be required to submit the proposed EEO-1 forms in the future--that certainly does not mean complete immunity from legal action. Employers with at least five employees can still be subject to local ordinances that prohibit discriminatory behaviors.
Should you have any questions about the proposed legislation or current reporting requirements, please contact our firm at (954) 530-9245. At Danz & Kronengold, PL, we can assist in ensuring compliance with local, state and federal laws and provide critical HR consulting to business owners and executive level management or work one-on-one with your Human Resources personnel.