In: Finance
Yes, you should now go back and adjust the woman’s salary upwards by $5,000 and make it $85,000.
This is because as per the provisions of The Equal Pay Act of 1963 employers are not allowed to discriminate between employees on the basis of their gender. The law says that “No employer having employees subject to any provisions of this section shall discriminate, within any establishment in which such employees are employed, between employees on the basis of sex by paying wages to employees in such establishment at a rate less than the rate at which he pays wages to employees of the opposite sex in such establishment for equal work on jobs the performance of which requires equal skill, effort, and responsibility, and which are performed under similar working conditions”.
The law also provides that to comply with the provisions stated above an employer cannot reduce the wages of an employee.
Hence you should now go back and adjust the woman’s salary upwards by $5,000 and make it $85,000. This will ensure that you are not violating the provisions of The Equal Pay Act of 1963.