Bill Text: IA SF340 | 2017-2018 | 87th General Assembly | Introduced
Bill Title: A bill for an act relating to wage discrimination under the Iowa civil rights Act of 1965, making penalties applicable, and establishing an equal pay task force.
Sponsorship: Partisan Bill (Democrat 13)
Status: (Introduced - Dead) 2017-02-23 - Introduced, referred to Labor and Business Relations. S.J. 396. [SF340 Detail]
Download: Iowa-2017-SF340-Introduced.html
Senate File 340 - Introduced SENATE FILE BY BOULTON, QUIRMBACH, HORN, TAYLOR, DVORSKY, DOTZLER, BOWMAN, LYKAM, JOCHUM, HOGG, RAGAN, BOLKCOM, and PETERSEN A BILL FOR 1 An Act relating to wage discrimination under the Iowa civil 2 rights Act of 1965, making penalties applicable, and 3 establishing an equal pay task force. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: TLSB 2072XS (3) 87 je/rj PAG LIN 1 1 Section 1. Section 216.6A, Code 2017, is amended by adding 1 2 the following new subsection: 1 3 NEW SUBSECTION. 2A. It shall be an unfair or discriminatory 1 4 practice for any employer or agent of any employer to do any of 1 5 the following: 1 6 a. Require, as a condition of employment, that an employee 1 7 refrain from disclosing, discussing, or sharing information 1 8 about the amount of the employee's wages, benefits, or other 1 9 compensation or from inquiring, discussing, or sharing 1 10 information about any other employee's wages, benefits, or 1 11 other compensation. 1 12 b. Require, as a condition of employment, that an employee 1 13 sign a waiver or other document that requires an employee to 1 14 refrain from engaging in any of the activities permitted under 1 15 paragraph "a". 1 16 c. Discriminate or retaliate against an employee for 1 17 engaging in any of the activities permitted under paragraph "a". 1 18 d. Seek salary history information, including but not 1 19 limited to information on compensation and benefits, from 1 20 a potential employee as a condition of a job interview or 1 21 employment. This paragraph shall not be construed to prohibit 1 22 a prospective employer from asking a prospective employee what 1 23 salary level the prospective employee would require in order to 1 24 accept a job. 1 25 e. Release the salary history, including but not limited 1 26 to information on compensation and benefits, of any current 1 27 or former employee to any prospective employer in response to 1 28 a request as part of an interview or hiring process without 1 29 written authorization from such current or former employee. 1 30 f. Publish, list, or post within the employer's 1 31 organization, with any employment agency, job=listing 1 32 service, or internet site, or in any other public manner, an 1 33 advertisement to recruit candidates for hire or independent 1 34 contractors to fill a position within the employer's 1 35 organization without including the minimum rate of pay of the 2 1 position. The rate of pay may be by the hour, shift, day, week, 2 2 salary, piece, commission, or other applicable rate. The rate 2 3 of pay shall include overtime and allowances, if any, claimed 2 4 as part of the minimum wage, including but not limited to 2 5 tipped wages. 2 6 g. Pay a newly hired employee at less than the rate of pay 2 7 advertised for the employee's position under paragraph "f". 2 8 Sec. 2. Section 216.6A, subsection 3, Code 2017, is amended 2 9 to read as follows: 2 10 3. a. It shall be an affirmative defense to a claim arising 2 11 under this section if any of the following applies: 2 12a.(1) Payment of wages is made pursuant to a seniority 2 13 system. 2 14b.(2) Payment of wages is made pursuant to a merit system. 2 15c.(3) Payment of wages is made pursuant to a system which 2 16 measures earnings by quantity or quality of production. 2 17d.(4) Pay differential is based on any other factor other 2 18 than the age, race, creed, color, sex, sexual orientation, 2 19 gender identity, national origin, religion, or disability 2 20 of such employee, including but not limited to a bona fide 2 21 factor relating to education, training, or experience. 2 22 This affirmative defense shall apply only if the employer 2 23 demonstrates that the factor is not based on or derived from 2 24 a differential in compensation based on age, race, creed, 2 25 color, sex, sexual orientation, gender identity, national 2 26 origin, religion, or disability; is job related with respect 2 27 to the position in question; and is consistent with a business 2 28 necessity. For purposes of this subparagraph, "business 2 29 necessity" means an overriding legitimate business purpose 2 30 such that the factor relied upon effectively fulfills the 2 31 business purpose it is supposed to serve. This affirmative 2 32 defense shall not apply if the employee demonstrates that an 2 33 alternative business practice exists that would serve the same 2 34 business purpose without producing the wage differential. 2 35 b. An affirmative defense under this subsection is not 3 1 applicable unless one or more of the affirmative defenses 3 2 listed in paragraph "a" account for the entire pay differential 3 3 that is the subject of the claim. 3 4 Sec. 3. EQUAL PAY TASK FORCE AND REPORT. 3 5 1. An equal pay task force is created. The task force shall 3 6 consist of the following members: 3 7 a. The director of the civil rights commission, or the 3 8 director's designee. 3 9 b. The director of the department of human rights, or the 3 10 director's designee. 3 11 c. The director of the department of workforce development, 3 12 or the director's designee. 3 13 d. An employee of the labor market information division 3 14 of the department of workforce development designated by the 3 15 director of the department. 3 16 e. A representative of the association of business and 3 17 industry, appointed by the president of the association. 3 18 f. A member of a statewide labor organization appointed by 3 19 the president of the organization. 3 20 g. Two representatives of organizations whose objectives 3 21 include the elimination of pay disparities between men and 3 22 women and minorities and nonminorities and that have undertaken 3 23 advocacy, educational, or legislative initiatives in pursuit 3 24 of such objectives appointed by the director of the civil 3 25 rights commission in consultation with the leadership of those 3 26 organizations. 3 27 h. Two representatives of postsecondary education 3 28 institutions who have experience and expertise in the 3 29 collection and analysis of data concerning pay disparities 3 30 between men and women and minorities and nonminorities 3 31 and whose research has been used in efforts to promote the 3 32 elimination of such disparities appointed by the director of 3 33 the civil rights commission in consultation with the leadership 3 34 of those institutions. 3 35 i. Four members of the general assembly serving as 4 1 ex officio, nonvoting members, one representative to be 4 2 appointed by the speaker of the house of representatives, one 4 3 representative to be appointed by the minority leader of the 4 4 house of representatives, one senator to be appointed by the 4 5 majority leader of the senate, and one senator to be appointed 4 6 by the minority leader of the senate. 4 7 2. Membership of the task force specified in subsection 1, 4 8 paragraphs "d" through "h", shall comply with section 69.16A. 4 9 3. The task force shall study all of the following: 4 10 a. The extent of wage disparities, both in the public and 4 11 private sectors, between men and women and between minorities 4 12 and nonminorities. 4 13 b. Factors that cause, or which tend to cause, such 4 14 disparities, including segregation between women and 4 15 men and between minorities and nonminorities across and 4 16 within occupations, payment of lower wages for work in 4 17 female=dominated occupations, child=rearing responsibilities, 4 18 the number of women who are heads of households, education, 4 19 hours worked, and years on the job. 4 20 c. The consequences of such disparities on the economy and 4 21 affected families. 4 22 d. Actions likely to lead to the elimination and prevention 4 23 of such disparities. 4 24 4. The department of workforce development shall provide 4 25 staffing services for the task force. 4 26 5. The voting members shall elect a chairperson from the 4 27 voting membership of the task force. A majority of the voting 4 28 members of the task force constitutes a quorum. 4 29 6. Voting members of the task force shall receive 4 30 reimbursement for actual expenses incurred while serving 4 31 in their official capacity only if they are not eligible 4 32 for reimbursement by the organization that they represent. 4 33 Legislative members shall be paid the per diem and expenses 4 34 specified in section 2.10. 4 35 7. The task force shall submit a report regarding its 5 1 findings and its recommendations regarding potential actions 5 2 for the elimination and prevention of disparities in wages 5 3 between men and women and minorities and nonminorities to the 5 4 governor and the general assembly no later than December 21, 5 5 2018. 5 6 EXPLANATION 5 7 The inclusion of this explanation does not constitute agreement with 5 8 the explanation's substance by the members of the general assembly. 5 9 This bill relates to wage discrimination under Iowa Code 5 10 chapter 216, the Iowa civil rights Act of 1965, and establishes 5 11 an equal pay task force. 5 12 WAGE DISCRIMINATION IN EMPLOYMENT. The bill establishes 5 13 additional unfair or discriminatory practices relating to wages 5 14 under Code section 216.6A. Penalty and remedial provisions 5 15 for discriminatory employment practices, including penalties 5 16 specific to wage discrimination, are applicable under Code 5 17 chapter 216 to violations of these requirements. 5 18 The bill prohibits an employer from requiring that an 5 19 employee refrain from disclosing, discussing, or sharing 5 20 information about the amount of the employee's wages, benefits, 5 21 or other compensation or from inquiring, discussing, or sharing 5 22 information about any other employee's wages, benefits, or 5 23 other compensation as a condition of employment. The bill 5 24 prohibits an employer from requiring that an employee sign a 5 25 waiver or other document that requires an employee to refrain 5 26 from engaging in any of those activities as a condition of 5 27 employment. The bill prohibits an employer from discriminating 5 28 or retaliating against an employee for engaging in any of the 5 29 activities. 5 30 The bill prohibits an employer from seeking salary history 5 31 information from a potential employee as a condition of a job 5 32 interview or employment. This provision shall not be construed 5 33 to prohibit a prospective employer from asking a prospective 5 34 employee what salary level the prospective employee would 5 35 require in order to accept a job. 6 1 The bill prohibits an employer from releasing the salary 6 2 history of any current or former employee to any prospective 6 3 employer in response to a request as part of an interview or 6 4 hiring process without written authorization from such current 6 5 or former employee. 6 6 The bill prohibits an employer from publishing, listing, or 6 7 posting within the employer's organization, with any employment 6 8 agency, job=listing service, or internet site, or in any other 6 9 public manner, an advertisement to recruit candidates for 6 10 hire or independent contractors to fill a position within the 6 11 employer's organization without including the minimum rate of 6 12 pay of the position. The rate of pay shall include overtime 6 13 and allowances, if any, claimed as part of the minimum wage, 6 14 including but not limited to tipped wages. The bill prohibits 6 15 an employer from paying a newly hired employee at less than the 6 16 rate of pay advertised for the employee's position. 6 17 Under current law, an employer has an affirmative defense 6 18 to a claim under Code section 216.6A if a pay differential 6 19 is based on any other factor other than prohibited wage 6 20 discrimination. The bill provides that an employer has an 6 21 affirmative defense to a claim under Code section 216.6A if a 6 22 pay differential is based on any other bona fide factor other 6 23 than prohibited discrimination, including but not limited 6 24 to a bona fide factor relating to education, training, or 6 25 experience. However, this defense shall only apply if the 6 26 employer demonstrates that the factor is not based on or 6 27 derived from prohibited wage discrimination, is job related 6 28 with respect to the position in question, and is consistent 6 29 with a business necessity. The bill defines "business 6 30 necessity" as an overriding legitimate business purpose 6 31 such that the factor relied upon effectively fulfills the 6 32 business purpose it is supposed to serve. This affirmative 6 33 defense shall not apply if the employee demonstrates that an 6 34 alternative business practice exists that would serve the same 6 35 business purpose without producing the wage differential. 7 1 The bill provides that affirmative defenses to a claim under 7 2 Code section 216.6A are not applicable unless one or more of 7 3 the defenses account for the entire pay differential that is 7 4 the subject of the claim. 7 5 EQUAL PAY TASK FORCE. The bill creates an equal pay task 7 6 force to study the extent of discriminatory wage disparities 7 7 in the public and private sectors, the factors that cause 7 8 such disparities, the consequences of such disparities, and 7 9 actions likely to lead to the elimination and prevention of 7 10 such disparities. 7 11 The bill establishes the membership of the task force, 7 12 including ex officio, nonvoting legislative members. The 7 13 department of workforce development shall provide staffing 7 14 services for the task force. 7 15 The task force shall submit a report regarding its findings 7 16 and its recommendations regarding potential actions for the 7 17 elimination and prevention of discriminatory wage disparities 7 18 to the governor and the general assembly no later than December 7 19 21, 2018. LSB 2072XS (3) 87 je/rj
