Government Ordered to Collect Pay Data

(March, 2019) Companies with over 100 employees can expect to start reporting pay data by race and gender soon, according to a recent court ruling.

A federal judge in Washington, DC, ruled March 4 that the Trump administration did not justify its decision to freeze an Obama-era rule requiring the Equal Employment Opportunity Commission (EEOC) to collect wage data to identify and benchmark pay inequities in the workforce. The rule, which was finalized in September 2016, required companies with 100 or more employees to provide employee wage data to the EEOC by March 31, 2018.

The White House and some business interests had argued that the data reporting requirement was a costly and unjust burden on employers. The White House has not indicated whether it will appeal the ruling. If the ruling is not appealed, it’s not yet clear when companies will have to comply with the original requirement.

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