Rights & Remedies

Pay Disparity

Differences in compensation for substantially similar work that are not justified by legitimate, job-related factors and are based on protected characteristics.

Definition

Pay Disparity denotes a situation where employees performing substantially similar work, or work of equal value, receive different levels of compensation, and these differences cannot be attributed to objective, job-related factors such as seniority, merit, or quantity/quality of production. Instead, such disparities are often linked to protected characteristics like gender, race, or ethnicity, indicating potential discrimination. The NYC Pay Data Reporting Law aims to identify and address these disparities through data analysis.