California’s new Fair Pay Act (“Act”) was signed into law by Governor Jerry Brown on October 6, 2015. Many believe the Act is the most aggressive equal pay law in the United States. The Act becomes effective January 1, 2016.
Prior to Act, California Labor Code section 1197.5 prohibited discrimination in pay based on gender since 1949. The old law required equal pay for “equal work,” except under four situations: a seniority system; a merit system; a system measuring earnings by quantity or quality of production; or a “bona fide” factor other than gender.
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