Senate File 69 - Introduced
SENATE FILE
BY DOTZLER
Passed Senate, Date Passed House, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act relating to wage discrimination by providing for the
2 determination of wage discrimination, applicable remedies, and
3 providing an effective date.
4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
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PAG LIN
1 1 Section 1. NEW SECTION. 91F.1 DEFINITIONS.
1 2 As used in this chapter, unless the context otherwise
1 3 provides:
1 4 1. "Employee" means a person employed by an employer and
1 5 includes all of an employer's year=round employees, whether
1 6 working full=time or part=time, and any temporary employee
1 7 employed by an employer for a period of at least three months.
1 8 "Employee" shall not include an individual employed by the
1 9 individual's parent, spouse, or child.
1 10 2. "Employer" means a person who employs three or more
1 11 persons and includes the state and all political subdivisions
1 12 of the state.
1 13 3. "Equivalent jobs" means jobs or occupations that are
1 14 equal within the meaning of 29 U.S.C. } 206(d), or jobs or
1 15 occupations that are dissimilar but whose requirements are
1 16 equivalent, when viewed as a composite of skills, effort,
1 17 responsibility, and working conditions, or jobs or occupations
1 18 that are equally productive and have equal value for an
1 19 employer.
1 20 4. "Labor organization" means an organization that exists
1 21 for the purpose, in whole or in part, of collective bargaining
1 22 or of dealing with employers concerning grievances, terms of
1 23 conditions of employment, or of other mutual aid or protection
1 24 in connection with employment.
1 25 5. "Market rates" means the rates that employers within a
1 26 prescribed geographic area actually pay, or are reported to
1 27 pay, for specific jobs, as determined by formal or informal
1 28 surveys, wage studies, or other means.
1 29 6. "Wages" and "wage rates" include all compensation in
1 30 any form that an employer provides to employees in payment for
1 31 work done or services rendered, including but not limited to
1 32 base pay, bonuses, commissions, awards, tips, or various forms
1 33 of nonmonetary compensation if provided in lieu of or in
1 34 addition to monetary compensation and that have economic value
1 35 to an employee.
2 1 Sec. 2. NEW SECTION. 91F.2 WAGE DISCRIMINATION
2 2 PROHIBITION.
2 3 1. It shall be an unlawful employment practice in
2 4 violation of this chapter for an employer to discriminate
2 5 between employees on the basis of sex, race, or national
2 6 origin by doing any of the following:
2 7 a. Paying wages to employees at a rate less than the rate
2 8 paid to employees of the opposite sex or of a different race
2 9 or national origin for work in equivalent jobs.
2 10 b. Paying wages to employees in a job that is dominated by
2 11 employees of a particular sex, race, or national origin at a
2 12 rate less than the rate at which such employer pays to
2 13 employees in another job that is dominated by employees of the
2 14 opposite sex or of a different race or national origin, for
2 15 work on equivalent jobs.
2 16 2. An employer may pay different wage rates to employees
2 17 where such payments are made pursuant to any of the following:
2 18 a. A bona fide seniority or merit system.
2 19 b. A system that measures earnings by quantity or quality
2 20 of production.
2 21 c. A bona fide factor other than sex, race, or national
2 22 origin. However, wage differentials based on varying market
2 23 rates for equivalent jobs or based on the differing economic
2 24 benefits to the employer of equivalent jobs shall not be
2 25 considered to be based on a bona fide factor other than sex,
2 26 race, or national origin.
2 27 3. An employer who is paying wages in violation of this
2 28 section shall not, in order to comply with the provisions of
2 29 this section, reduce the wage of any employee.
2 30 4. A labor organization or its agents representing
2 31 employees of an employer having employees subject to any
2 32 provision of this chapter shall not cause or attempt to cause
2 33 such an employer to discriminate against an employee in
2 34 violation of subsection 1.
2 35 5. The labor commissioner shall adopt rules specifying the
3 1 criteria for determining whether a job is dominated by
3 2 employees of a particular sex, race, or national origin.
3 3 Criteria shall include, but not be limited to, factors such as
3 4 whether the job has ever been formally classified as or
3 5 traditionally considered to be a male or female or white or
3 6 minority job; whether a history of discrimination based on
3 7 sex, race, or national origin exists with regard to wages,
3 8 assignment, or access to jobs, or other terms and conditions
3 9 of employment; and the demographic composition of the
3 10 workforce in equivalent jobs. The rules shall not include a
3 11 list of jobs.
3 12 Sec. 3. NEW SECTION. 91F.3 OTHER PROHIBITED ACTS.
3 13 It shall be an unlawful employment practice in violation of
3 14 this chapter for an employer to do any of the following:
3 15 1. Take adverse actions or otherwise discriminate against
3 16 an individual because such individual has opposed any act or
3 17 practice made unlawful by this chapter; has sought to enforce
3 18 rights protected under this chapter; or has testified,
3 19 assisted, or participated in any manner in an investigation,
3 20 hearing, or other proceeding to enforce this chapter.
3 21 2. Discharge or in any other manner discriminate against,
3 22 coerce, intimidate, threaten, or interfere with an employee or
3 23 another person because the employee inquired about, disclosed,
3 24 compared, or otherwise discussed the employee's wages or the
3 25 wages of any other employee, or because the employee
3 26 exercised, enjoyed, aided, or encouraged another person to
3 27 exercise or enjoy any right granted or protected by this
3 28 chapter.
3 29 Sec. 4. NEW SECTION. 91F.4 WAGE DISCLOSURE,
3 30 RECORDKEEPING, AND REPORTING REQUIREMENTS.
3 31 1. Upon commencement of an individual's employment and at
3 32 least annually thereafter, the individual's employer subject
3 33 to this chapter shall provide to the employee a written
3 34 statement sufficient to inform the employee of the employee's
3 35 job title, wage rate, and how the wage is calculated. This
4 1 notice shall be supplemented whenever an employee is promoted
4 2 or reassigned to a different position with the employer.
4 3 However, the employer is not required to issue supplemental
4 4 notifications for temporary reassignments that are no greater
4 5 than three months in duration.
4 6 2. An employer subject to this chapter shall make and
4 7 preserve records that document the wages paid to employees and
4 8 that document and support the method, system, calculations,
4 9 and other bases used to establish, adjust, and determine the
4 10 wage rates paid to employees. An employer subject to this
4 11 chapter shall preserve the records for such periods of time
4 12 and shall make reports from the records as shall be prescribed
4 13 by rules or orders of the labor commissioner.
4 14 3. The rules adopted under this chapter, relating to the
4 15 form of reports required by subsection 2, shall provide for
4 16 protection of the confidentiality of employees, and shall
4 17 expressly require that reports shall not include the names or
4 18 other identifying information from which readers could discern
4 19 the identities of employees. The rules may also identify
4 20 circumstances that warrant a prohibition on disclosure of
4 21 reports or information identifying the employer.
4 22 4. The labor commissioner may use the information and data
4 23 collected pursuant to subsection 2 for statistical and
4 24 research purposes, and may compile and publish such studies,
4 25 analyses, reports, and surveys based on the information and
4 26 data, as appropriate.
4 27 Sec. 5. NEW SECTION. 91F.5 REMEDIES AND ENFORCEMENT.
4 28 1. a. In an action in which a court finds that an
4 29 employer has engaged in acts that violate this chapter, the
4 30 court shall award to an affected employee or employees
4 31 monetary relief, including back pay in an amount equal to the
4 32 difference between the employee's actual earnings and what the
4 33 employee would have earned but for the employer's unlawful
4 34 practices, and an additional amount in compensatory and
4 35 punitive damages, as appropriate.
5 1 b. In an action in which a court finds that an employer
5 2 has engaged in acts that violate this chapter, the court shall
5 3 enjoin the employer from continuing to discriminate against an
5 4 affected employee or employees and shall direct the employer
5 5 to comply with this chapter, and may order the employer to
5 6 take such additional affirmative steps as are necessary,
5 7 including reinstatement or reclassification of an affected
5 8 employee or employees, to ensure an end to unlawful
5 9 discrimination.
5 10 c. In an action in which an affected employee or employees
5 11 prevail in their claims against an employer, the court shall,
5 12 in addition to any judgment awarded to the plaintiffs, order
5 13 the employer to pay a reasonable attorney fee, reasonable
5 14 expert witness fees, and costs of the action.
5 15 2. a. An action to recover the damages or equitable
5 16 relief prescribed in subsection 1 may be maintained against an
5 17 employer in any court of competent jurisdiction by one or more
5 18 employees or their representative on their own behalf or on
5 19 their own behalf and on the behalf of other employees
5 20 similarly situated.
5 21 b. (1) The labor commissioner shall receive, investigate,
5 22 and attempt to resolve complaints of violations of this
5 23 chapter.
5 24 (2) If the labor commissioner is unable to reach a
5 25 voluntary resolution of a complaint, the labor commissioner
5 26 may bring an action in any court of competent jurisdiction to
5 27 recover the equitable and monetary relief described in
5 28 subsection 1.
5 29 (3) Any sums recovered by the labor commissioner pursuant
5 30 to this paragraph "b" shall be paid directly to each employee
5 31 affected by the employer's unlawful acts.
5 32 c. An action may be brought under this section not later
5 33 than two years after the date of the last event constituting
5 34 the alleged violation for which the action is brought.
5 35 Sec. 6. EFFECTIVE DATE. This Act, being deemed of
6 1 immediate importance, takes effect upon enactment.
6 2 EXPLANATION
6 3 This bill creates a new Code chapter governing wage
6 4 discrimination.
6 5 The bill makes it unlawful for an employer to pay wages
6 6 that discriminate between employees based on sex, race, or
6 7 national origin unless the differences are due to a valid
6 8 factor unrelated to sex, race, or national origin. The bill
6 9 also makes it unlawful for an employer to take action against
6 10 a person exercising their rights pursuant to this new chapter.
6 11 The bill requires employers, on an annual basis, to provide
6 12 employees with information on how the employees' wage is
6 13 calculated. The bill also requires employers to maintain
6 14 records concerning wages paid to employees.
6 15 The bill permits an affected employee to maintain an action
6 16 against an employer who violates this chapter and to obtain
6 17 damages, seek an injunction, and be awarded witness and
6 18 attorney fees and costs. The bill also permits employees to
6 19 maintain an action on behalf of other employees. In addition,
6 20 the labor commissioner is granted the authority to resolve
6 21 complaints arising out of this chapter and to maintain a civil
6 22 action for monetary and equitable relief on behalf of
6 23 employees.
6 24 The bill takes effect upon enactment.
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