Framework Conditions in the United States of America

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Equal Pay Act

Already in 1963, the Equal Pay Act has come into force. Since then, the gap decreases, yet is still present at a comparatively high level in the US. The Equal Pay Act prohibits any discrimination in wages based on sex.

Next to prohibiting any form of discrimination, the Equal Pay Act allows for sanctioning those breaching the law. Fines of more than 10,000 $ can be set in case of proven discrimination.

Recent actions

POTUS Barack Obama established a taks force on pay equity already in 2012 to find policy responses in order to close the gender pay gap. During both presidential terms, pay equity has been high on the agenda.

In addition, presidential candidate Hillary Clinton has already revealed that Obamas's efforts on equal pay will continue in case she will be elected president of the US.

Litigation in the US

As class action is allowed in the judicial system of the United States, various cases on gender discrimination have been filed in the US. Even today, numerous cases are opened making equal pay a more actual topic than ever.

Two famous and recent cases are:

- Ellen Pao filed a law suit against Kleiner Perkins Caufield and Byers. The case has risen awareness all over the country, as the case involves a high-ranking and well-known investment company in the Silicon Valley. Although Ellen Pao could not win the case, it has encouraged a far-reaching dicussion on gender equality and equal pay.

- Walmart has been in the news for cases on equal pay since years. Class action cases with 10,000s of cases have been filed against the company. The case was not only abour equal pay, but also involved missing promotions for women and a male-dominated working culture. However, the case in 2011 was decided in favour of Walmart leaving discrimination within the company in place.

Related Links

United States Department of Labour: It's Time for #EqualPayNow

Equal Pay Act of 1963 - original version

Equal Pay Act

White House: Equal Pay

White House: Equal Pay Taks Force

Hillary Clinton: Fact Sheet Equal Pay

Huffington Post (2015). Why Ellen Pao's Case Can Be Seen as a Win for Women

Huffington Post (2011). Equal Pay for Equal Work