Human Resources Report: The Lilly Ledbetter Fair Pay Act of 2009

Commerce Magazine

PUBLISHED ON: May 8, 2009

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THE CURRENT ECONOMIC CLIMATE IS ASKING more of HR executives, with massive layoffs, wage/hiring freezes, salary reductions and steep declines in 401 (k) values. Given this situation, which is expected to continue in the near future, COMMERCE presents this special report on HR news/updates plus how law firms are advising their clients about staffing issues during these challenging times.

Question #1: What is the latest news about HR rules, regulations or laws that should concern New Jersey businesses?

Anderson Kill & Olick: The Lilly Ledbetter Fair Pay Act of 2009 creates substantial potential pay discrimination liability for New Jersey employers. It effectively overturns a Supreme Court decision that the 300-day statute of limitations for filing a federal pay discrimination claim began to run from the time of the initial pay decision, resulting in relatively few successful employee claims. Instead, each paycheck will now begin a new period for alleging unlawful pay disparity based upon sex, race, age, religion or disability. As a result, New Jersey employers face a geometric increase in potential liability for salary discrimination. (Bennett Pine, Chair of the firm’s Employment & Labor Group)