A New Generation of Pay Equity Laws: The Growing Legal Challenge for Restaurant Operators

A wave of new pay equity laws is becoming one of the greatest areas of legal exposure to restaurant operators.  The laws require employers to pay men and women the same rate of pay when performing “similar work,” even though the employees may hold different positions and work in different locations.  Operators must take steps to ensure they’re in compliance in order to avoid costly lawsuits and state or federal investigations.

More Onerous Fair Pay Laws Are Coming 

This year, California, New York, and Massachusetts greatly expanded the reach of their pay equity laws. Effective January 1, 2017, the California Fair Pay Act, for example, will require equal pay for employees of different races and ethnicities, not only employees of different genders. Nebraska this year enacted a pay equity law for the first time.  Legislative action is expected in the District of Columbia and other jurisdictions next year.  The forces which have made greatly expanding pay equity laws a priority…