What is the Lilly Ledbetter Act?

…and how does it affect employers? The Lilly Ledbetter Act increased employee protections against pay discrimination and defines unlawful practices when;

• A discriminatory compensation decision or other practice is adopted
• An individual becomes subject to the decision or practice
• An individual is affected by application of the decision or practice, including each time there is a payment of compensation

A key feature of the Act is that with the issuing of each new paycheck or post-retirement check, the filing deadline of pay discrimination charges is extended for an employee to file an unlawful employment charge. Consequently, each check potentially serves as an unlawful employment practice, even if the alleged pay discrimination occurred years before.

Because of this moving target, employers should review their employment record retention policies, as well as conduct periodic audits of pay decisions. With that in mind, it is important for employers to review record retention policies and pay practices.

​More information can be found at: 
Equal Pay Act of 1963 and Lilly Ledbetter Fair Pay Act of 2009 | U.S. Equal Employment Opportunity Commission (eeoc.gov)