Updated Equal Pay Data Rule Issued

07.14.2016

For over 50 years, federal contractors and private employers with more than 100 employees have completed the EEO-1 form to provide the U.S. Equal Employment Opportunity Commission (EEOC) and Office of Federal Contract Compliance Programs with workforce data by race, ethnicity, sex and job category.

Following the release of a proposed rule earlier this year, yesterday the EEOC issued another revised version of its proposal to expand pay data collection for those employers by having employers collect W-2 income and hours worked data within 12 distinct pay bands for each job category.  The employer would then report the number of employees whose W-2 earnings for the prior 12-month period fell within each pay band.  The expanded pay data will assist the agencies in identifying possible pay discrimination, and assist employers in promoting equal pay in their workplaces.

In issuing the updated version, the EEOC said it considered suggestions made by commenters during the initial 60-day comment period.  The proposed revision will still include collecting summary pay data from employers.  The updated rule comes with a new 30-day comment period that runs through August 15.