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The so-called Paycheck Fairness Act now pending on Congress is anything but fair to employers working in good faith to provide opportunity to all employees.
Senate Majority Leader Harry Reid (D-NV) signaled recently that he will re-introduce the long-pending Paycheck Fairness Act (S.372) before the Senate adjourns for mid-term elections. The House approved the measure last spring.
The legislation would allow unprecedented penalties of unlimited punitive and compensatory damages in cases of suspected pay discrimination. Employers of all sizes would be exposed to increased litigation and a spate of frivolous class-action suits even when they act with a reasonable belief that their pay policies are lawful.
AIM opposes the Paycheck Fairness Act. Here’s why:
We believe that existing laws protect workers from gender discrimination while allowing employers the necessary freedom to adopt the best competitive business practices available to retain and attract employees. Expanding punitive damages will not prevent actual instances of discrimination; instead it would encourage the filing of claims to the benefit of plaintiffs’ attorneys.
Employers who are concerned about the impact the bill will have on their respective operations are urged to contact Senators Kerry and Brown and ask them to oppose the measure, and indicate that Senate should not act to expose employers to frivolous lawsuits or dictate business practices.
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