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Congress Votes to Close Wage Gap, Passes DeLauro’s Paycheck Fairness Act

January 9, 2009

Pay equity is about economic security for women & their families

Washington, D.C. – The U.S. House of Representatives, passed the Paycheck Fairness Act (H.R. 12), introduced by Congresswoman Rosa L. DeLauro (CT-3). The legislation aims to close the wage gap between men and women by strengthening and giving teeth to the Equal Pay Act and closing loopholes that have allowed employers to avoid responsibility for discriminatory pay. The bill was approved overwhelmingly by a vote of 256-163.

The measure, along with the Lilly Ledbetter Fair Pay Act, was among the first to be considered by the 111th Congress and reflects the importance of pay equity.

"In this economy, families are struggling to make ends meet. Not one of them deserves to be shortchanged, but because women still earn 78 cents for every dollar men earn, many unfortunately are. But this does not need to be," said DeLauro. "Today, by passing the Paycheck Fairness Act, we send a strong message that gender discrimination is unacceptable and women will have the tools they need to combat it. We are standing up for working women and their families. It is our moment to fight for economic freedom and eliminate the systemic discrimination faced by women workers. With this legislation, we begin the change, make history, and change lives."

By allowing women to include compensatory and punitive damages without a cap, the Paycheck Fairness Act corrects the deficiencies in the remedies available under the Equal Pay Act and eliminates a shortcoming of the act that has diminished its value as a vehicle for addressing unlawful pay disparities. It also prohibits employers from retaliating against employees who share salary information with their co-workers, as well as, creates a training program to help women strengthen their negotiation skills, and require the Department of Labor to work with employers to eliminate pay disparities by enhancing outreach and training efforts

Forty four years after the Equal Pay Act was signed into law, pay discrimination still exists in the workplace. As a result, millions of American families lose out. According to the National Committee on Pay Equity, working women stand to lose $250,000 over the course of their career because of unequal pay practices. According to the most recent Bureau of Labor Statistics data, the wage gap continues to persist even though women posted a greater net increase in jobs paying above the median salary than men from 2000 to 2005. In 2005, the median weekly pay for men was $663 compared to 73 percent of that for women, who earned $486 a week on average.