Jennifer L. Henn  |  July 15, 2020

Category: Discrimination

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The wage gap is a problem.

Experts, researchers and public officials might differ on the exact numbers and factors contributing to it, but there is a persistent wage gap among working men and women in the U.S., studies show.

What Is the Gender Wage Gap?

The gender wage gap is essentially the difference in the amount of money men and women are paid for their work. It can be calculated based on overall statistics, median incomes and side-by-side comparisons of salaries paid for specific jobs.

“The most commonly cited gender pay gap statistic in the United States compares the median annual earnings of women who work full time, year-round against the median annual earnings of men who work full time, year-round,” according to the American Association of University Women, a nonprofit that advocates for women’s equality in education and the workplace.

Is There a Wage Gap Between Men and Women?

The median pay for full-time working women in the U.S. in 2018, the most recent year available from the U.S. Bureau of Labor Statistics, is 18 percent lower than for full-time working men. That data is often explained as meaning women are paid 82 cents on the dollar.

What Are the Gender Wage Gap Statistics?

The American Association of University Women in its annual report on the gender wage gap, reported that the “typical woman in America” earns $45,097 a year and the “typical man” earns $55,291.

As a whole, American women bring in $500 billion a year less than American men.

Every working age group is affected, though research shows the wage gap widens over the course of a woman’s life and is highest among those between the ages of 55 and 64, the nonprofit association reports. The lower earning power during their working years puts women behind later in life, as well, since most are able to save less for retirement.

Women of color experience an even wider wage gap, the Institute for Women’s Policy Research reports. The group’s research found Hispanic women earn 62 percent of what white men do and 86 percent of what Hispanic men make. Black women are paid 65 percent of what white men earn and 89 percent of what Black men do.

Mothers, meanwhile, are paid 71 cents for every dollar paid to fathers, the American Association of University Women reports. And women with bachelor’s degrees working full time are paid 26 percent less than men with the same.

The Institute for Women’s Policy Research study found “the occupation with the largest gender wage gap is securities, commodities, and financial services sales agents.” In 2018, women in that field were paid a median income nearly 36 percent less than their male counterparts.

The wage gap is a persistent issue.Has Anything Been Done to Address the Gap?

The Equal Pay Act of 1963 was written and passed in an effort to protect American workers from wage discrimination on the basis of gender. It considers wages to include salaries, overtime and bonus pay and all benefits of financial value such as dry cleaning or gasoline allowances, hotel accommodations, reimbursement for travel expenses, and benefits.

“If there is an inequality in wages between men and women who perform substantially equal jobs, employers must raise wages to equalize pay but may not reduce the wages of other individuals,” the act says.

Why Does the Disparity Still Exist?

Congress has considered the Paycheck Fairness Act – a law proposed to close loopholes in the Equal Pay Act – for each of the last 20 years, but has failed to enact it. Most recently, the U.S. House of Representatives approved the measure in March 2019. The Senate has taken no action on the matter since.

The Paycheck Fairness Act would prohibit employers from using a job candidate’s salary history to decide on a salary offer, thus helping to break the cycle of women being underpaid. The act would also protect employees from retaliation for discussing salaries with their colleagues. Those conversations are often the only way women learn they are being paid less than their male counterparts, according to a piece on Fortune magazine’s website. And the proposed wage act would also require employers to prove wage disparities between men and women are a business necessity and job-related.

Finally, the Paycheck Fairness Act would have all qualifying class members in a wage discrimination class action lawsuit automatically included unless they opt out.

Other factors that contribute to the gender-based wage gap include differences in the levels of education and work experience and workplace gender discrimination, a study by the Pew Research Center noted. Pew conducted a survey in 2017 in which 42 percent of women polled said they’ve experienced gender discrimination at work, while 22 percent of men said the same. One in four of those women said they’ve earned less than men doing the same work.

“Family caregiving responsibilities, particularly motherhood, can lead to interruptions in career paths” that also result in lower long-term earnings among women, the Pew center said.

What Can You Do if You Have Been Affected by the Wage Gap?

Women who believe they have been financially discriminated against in the workplace on the basis of sex can fight back, under the terms of the Equal Pay Act. That discrimination can take the form of inequality in paying of wages, overtime pay, bonuses, stock options, profit sharing and bonus plans, life insurance, vacation and holiday pay, cleaning or gasoline allowances, hotel accommodations, reimbursement for travel expenses, and benefits, according to the U.S. Equal Employment Opportunity Commission.

A woman who has been compensated at a rate lower than her male counterparts can lodge a complaint with the equal employment commission, take legal action against her employer or do both. The statute of limitations by which a claim can be made is two years from the time the unequal treatment occurred, or three years if the discrimination was willful.

Deciding whether to file a civil lawsuit and take a claim to court can be daunting. Legal action is often complex and those who have reason to believe they’re been treated unfairly want to ensure they get the compensation they deserve. Consulting with a qualified attorney who is experienced in workplace discrimination and wage laws can help with that process.

Join a Free Gender Pay Disparity Class Action Lawsuit Investigation

If you are a woman who has experienced the effects of the gender pay gap in your workplace, you may qualify to join this gender pay gap and equal pay lawsuit investigation.

See if you qualify for this class action lawsuit investigation by filling out the free form on this page.

Get a Free Case Evaluation

This article is not legal advice. It is presented
for informational purposes only.

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