New Law Creates Reporting Obligation for California Employers in Effort to Close Historical Gender and Race Wage Gap

Despite significant progress and changes in wage equality there still remains a persistent and identifiable wage gap. This wage gap occurs not only in gender but in race and ethnicity as well.

On September 30th, 2020 Governor Gavin Newsom signed into law SB-973 which effectively requires private employers who employ 100 or more employees to file pay data with their report to the Department of Fair Employment and Housing (DFEH) beginning March 31, 2021.[1]  The report must contain the following information at the least, the number of employees by race, ethnicity and sex categorized by position. A similar proposal was placed on infinity hold that would require this data to be reported federally with the Equal Employment Opportunity Commission (EEOC).

The Wage Gap Persists

Recently Princeton University agreed to pay over $1 million to female professors who were categorically underpaid compared to their male counterparts, a federal review found.[2] The agreement included over $900,000 in back pay an over $200,000 in future salary adjustments. Additionally, data released by the U.S. Census Bureau shows that no progress was made in 2018-2019 in closing the wage gap.[3] For example, a report by the National Women’s Law Center found that black women earn just 63 cents compared to white men.[4] This new bill will hopefully make this data more available so that the wage gap can be closed.

Are You Earning Less Than Your Peers?

If you suspect you were underpaid or treated differently at your workplace due to your gender, race, ethnicity, or sexual preference, Makarem & Associates will fight for you. Discrimination takes many forms, including paying less to certain employees for substantially the same work. As new laws hope to close this wage gap, we will make sure you are not alone in this endeavor. No matter your background, Makarem & Associates will fight for your rights.

Makarem & Associates Is Here for You

As employment attorneys in California, we are committed to ensuring that our clients receive the help they need and deserve in order to fight against discrimination in the workplace. We will not stand by and watch employers dismiss or fail to take action against perpetrators of discrimination or workplace harassment even if these are tech employees.

If you have been a victim of discrimination or harassment at work in California, we at Makarem & Associates are ready to step in and help you fight for your rights. With some of the best employment law attorneys in California, we will provide you with the best legal representation to help you reach the best outcome. Please reach out to us and call us at 310-312-0299 or email us at [email protected] to receive the right legal counsel and a free consultation.


[1] See the text of SB-973 here https://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=201920200SB973

[2] https://www.cnbc.com/2020/10/14/princeton-to-pay-over-1-million-to-female-professors-for-gender-pay-gap.html

[3] https://www.census.gov/newsroom/press-releases/2020/income-poverty.html

[4] https://nwlc.org/press-releases/in-2019-number-of-uninsured-women-spiked-to-10-million-being-a-woman-still-raised-the-odds-of-being-poor-in-america-and-the-wage-gap-for-black-women-and-latinas-closed-by-one-penny/