The New Jersey Equal Pay Act is one of the more progressive laws in the United States. It seeks to close the wage disparity gap and protect the rights of employees who voice pay-related concerns.
What is the NJ Diane Allen Equal Pay Act?
This law provides for substantial penalties against employers that violate it. If an employer is found to be in violation, it can be ordered to pay up to three times the amount of the monetary loss. In addition, the successful plaintiff may also receive treble damages.
Employees in protected classes, such as women and minorities, have the right to be paid fairly. Employers are required to justify the difference in compensation. They must also show that the pay disparity is not discriminatory. Learn more : https://www.scura.com/blog/new-jersey-equal-pay-act
The law was originally passed to combat gender-based pay disparities, but it was later expanded to protect all employees from being paid less than their male and female counterparts. Other protections include gender-based pay differentials in paid time off, health insurance coverage, and other forms of compensation.
A New Jersey employer is not only obligated to comply with the law, but to also review its current pay practices to ensure they are in compliance. Specifically, employers should review their job descriptions, salary histories, and other factors that could be used to determine whether or not they are paying their employees fairly.
The New Jersey Law Against Discrimination (LAD) applies to businesses of any size and type. However, it does not apply to federal government employers, independent contractors, or domestic employees.