House File 754 H-1145 Amend House File 754 as follows: 1 1. By striking everything after the enacting clause and 2 inserting: 3 < Section 1. NEW SECTION . 19B.7A State contracts —— race 4 and gender compensation reporting. 5 1. For purposes of ensuring compliance with chapter 216 6 and this chapter, a nonstate party to a contract for goods or 7 services with the state shall submit the following information 8 regarding each of its employees in a report to the department 9 of administrative services and the civil rights commission 10 annually by January 1: 11 a. Total annual compensation. 12 b. Occupation. 13 c. Sex. 14 d. Race. 15 e. Length of employment. 16 f. Highest level of education attained. 17 g. Years of experience relevant to the employee’s job. 18 2. Names of employees shall not be included in the report. 19 Sec. 2. Section 216.6A, Code 2021, is amended by adding the 20 following new subsections: 21 NEW SUBSECTION . 2A. It shall be an unfair or discriminatory 22 practice for any employer or agent of any employer to do any of 23 the following: 24 a. Require, as a condition of employment, that an employee 25 refrain from disclosing, discussing, or sharing information 26 about the amount of the employee’s wages, benefits, or other 27 compensation or from inquiring, discussing, or sharing 28 information about any other employee’s wages, benefits, or 29 other compensation. 30 b. Require, as a condition of employment, that an employee 31 sign a waiver or other document that requires an employee to 32 refrain from engaging in any of the activities permitted under 33 paragraph “a” . 34 c. Discriminate or retaliate against an employee for 35 -1- HF754.1109 (3) 89 je/rn 1/ 5 #1.

engaging in any of the activities permitted under paragraph “a” . 1 d. Seek salary history information, including but not 2 limited to information on compensation and benefits, from 3 a potential employee as a condition of a job interview or 4 employment. This paragraph shall not be construed to prohibit 5 a prospective employer from asking a prospective employee what 6 salary level the prospective employee would require in order to 7 accept a job. 8 e. Release the salary history, including but not limited 9 to information on compensation and benefits, of any current 10 or former employee to any prospective employer in response to 11 a request as part of an interview or hiring process without 12 written authorization from such current or former employee. 13 f. Publish, list, or post within the employer’s 14 organization, with any employment agency, job-listing 15 service, or internet site, or in any other public manner, an 16 advertisement to recruit candidates for hire or independent 17 contractors to fill a position within the employer’s 18 organization without including the minimum rate of pay of the 19 position. The rate of pay may be by the hour, shift, day, week, 20 salary, piece, commission, or other applicable rate. The rate 21 of pay shall include overtime and allowances, if any, claimed 22 as part of the minimum wage, including but not limited to 23 tipped wages. 24 g. Pay a newly hired employee at less than the rate of pay 25 advertised for the employee’s position under paragraph “f” . 26 NEW SUBSECTION . 5. The commission shall establish a 27 statewide, toll-free telephone hotline for the purpose of 28 receiving reports of violations of this section. 29 Sec. 3. Section 216.6A, subsection 3, Code 2021, is amended 30 to read as follows: 31 3. a. It shall be an affirmative defense to a claim arising 32 under this section if any of the following applies: 33 a. (1) Payment of wages is made pursuant to a seniority 34 system. 35 -2- HF754.1109 (3) 89 je/rn 2/ 5

b. (2) Payment of wages is made pursuant to a merit system. 1 c. (3) Payment of wages is made pursuant to a system which 2 measures earnings by quantity or quality of production. 3 d. (4) Pay differential is based on any other bona fide 4 factor other than the age, race, creed, color, sex, sexual 5 orientation, gender identity, national origin, religion, 6 or disability of such employee , including but not limited 7 to a bona fide factor relating to education, training, or 8 experience . This defense shall apply only if the employer 9 demonstrates that the factor is not based on or derived from 10 a differential in compensation based on age, race, creed, 11 color, sex, sexual orientation, gender identity, national 12 origin, religion, or disability; is job-related with respect 13 to the position in question; and is consistent with a business 14 necessity. For purposes of this subparagraph, “business 15 necessity” means an overriding legitimate business purpose 16 such that the factor relied upon effectively fulfills the 17 business purpose it is supposed to serve. This affirmative 18 defense shall not apply if the employee demonstrates that an 19 alternative business practice exists that would serve the same 20 business purpose without producing the wage differential. 21 b. An affirmative defense under this subsection is not 22 applicable unless one or more of the defenses listed in 23 paragraph “a” account for the entire pay differential that is 24 the subject of the claim. 25 Sec. 4. EQUAL PAY TASK FORCE AND REPORT. 26 1. An equal pay task force is created. The task force shall 27 consist of the following members: 28 a. The director of the civil rights commission, or the 29 director’s designee. 30 b. The director of the department of human rights, or the 31 director’s designee. 32 c. An employee of the labor market information division 33 of the department of workforce development designated by the 34 director of the department. 35 -3- HF754.1109 (3) 89 je/rn 3/ 5

d. A representative of the association of business and 1 industry, appointed by the president of the association. 2 e. A member of a statewide labor organization appointed by 3 the president of the organization. 4 f. Two representatives of organizations whose objectives 5 include the elimination of pay disparities between men and 6 women and minorities and nonminorities and that have undertaken 7 advocacy, educational, or legislative initiatives in pursuit 8 of such objectives appointed by the director of the civil 9 rights commission in consultation with the leadership of those 10 organizations. 11 g. Two representatives of postsecondary education 12 institutions who have experience and expertise in the 13 collection and analysis of data concerning pay disparities 14 between men and women and minorities and nonminorities 15 and whose research has been used in efforts to promote the 16 elimination of such disparities appointed by the director of 17 the civil rights commission in consultation with the leadership 18 of those institutions. 19 h. Four members of the general assembly serving as 20 ex officio, nonvoting members, one representative to be 21 appointed by the speaker of the house of representatives, one 22 representative to be appointed by the minority leader of the 23 house of representatives, one senator to be appointed by the 24 majority leader of the senate, and one senator to be appointed 25 by the minority leader of the senate. 26 2. The task force shall study all of the following: 27 a. The extent of wage disparities, both in the public and 28 private sectors, between men and women and between minorities 29 and nonminorities. 30 b. Factors that cause, or which tend to cause, such 31 disparities, including segregation between women and 32 men and between minorities and nonminorities across and 33 within occupations, payment of lower wages for work in 34 female-dominated occupations, child-rearing responsibilities, 35 -4- HF754.1109 (3) 89 je/rn 4/ 5

the number of women who are heads of households, education, 1 hours worked, and years on the job. 2 c. The consequences of such disparities on the economy and 3 affected families. 4 d. Actions likely to lead to the elimination and prevention 5 of such disparities. 6 3. The civil rights commission shall provide staffing 7 services for the task force. 8 4. The voting members shall elect a chairperson from the 9 voting membership of the task force. A majority of the voting 10 members of the task force constitutes a quorum. 11 5. Voting members of the task force shall receive 12 reimbursement for actual expenses incurred while serving 13 in their official capacity only if they are not eligible 14 for reimbursement by the organization that they represent. 15 Legislative members shall be paid the per diem and expenses 16 specified in section 2.10. 17 6. The task force shall submit a report regarding its 18 findings and its recommendations regarding potential actions 19 for the elimination and prevention of disparities in wages 20 between men and women and minorities and nonminorities to the 21 governor and the general assembly no later than December 18, 22 2022. > 23 2. Title page, by striking lines 1 and 2 and inserting 24 < An Act relating to wage discrimination under the Iowa civil 25 rights Act of 1965 and in state contracting, making penalties 26 applicable, and establishing an equal pay task force. > 27 ______________________________ HUNTER of Polk -5- HF754.1109 (3) 89 je/rn 5/ 5 #2.