Your Right to Fair Pay in California: A Guide to the Equal Pay Act

In California, the right to fair pay isn’t just a goal—it’s the law. This guarantee applies to everyone, regardless of your gender, race, or ethnicity.

To turn that right into a reality, the state passed the landmark California Equal Pay Act. The Act armed employees with some of the strongest equal-pay protections in the nation.

This law takes direct aim at the state’s persistent pay gap. While progress has been made, recent data shows that nationwide, women who work full-time still receive only 83 cents for every dollar paid to men

For many women of color, the gap is a chasm. For every dollar paid to a white, non-Hispanic man in California, Black women earn an estimated 66 cents, and Hispanic women earn just 58 cents.

The core of the Equal Pay Act is a simple concept: equal pay for substantially similar work.1

This guide will break down your most important rights under this law. We’ll help you understand what fair pay means and what you can do if you’re being paid unfairly.

First, we will explore the core concept of “substantially similar work” and the very limited reasons an employer can legally justify a pay difference.

Next, we will cover California’s pay transparency laws—your right to talk about wages and know the pay scale for your job.

Finally, this guide details your powerful protections against retaliation and answers common questions about enforcing your right to fair pay.

The Core of California’s Equal Pay Act: What Does “Substantially Similar Work” Mean?

The heart of the California Equal Pay Act is this: your employer can’t legally pay you less than a coworker of a different sex, race, or ethnicity for performing substantially similar work.

The law looks beyond job titles. It focuses on the actual work you do, viewed as a complete picture.

To determine if work is substantially similar, the law requires looking at a combination of factors. The work doesn’t have to be identical, but it must be mostly similar when considering:

Skill: The experience, ability, education, and training required to perform the job.
Effort: The amount of physical or mental exertion needed to do the job.
Responsibility: The level of accountability and the duties required in the position.
Working Conditions: The physical surroundings (like temperature or fumes) and hazards of the job.

It’s Not Just About Job Titles

Because the law focuses on actual duties, you don’t need the same job title as the coworker you’re comparing yourself to.

For example, a hotel could not pay its male “janitors” more than its female “housekeepers” if they both perform substantially similar cleaning work.2 

It’s Not Just About Your Location

The Equal Pay Act eliminated the old rule that employees had to work at the “same establishment” to compare pay.

This was a significant change. It means you can compare your pay to that of a coworker performing similar work at a different company location anywhere in California.3 You may also be able to compare your pay to a coworker performing similar work in a different state, though this is an unsettled area of law.

When Can an Employer Legally Pay People Different Rates?

If you show that you’re being paid less than a coworker for substantially similar work, the legal burden shifts entirely to your employer.

The Equal Pay Act requires your employer to prove that the reason for the pay difference is legitimate, non-discriminatory, and based on one or more of four specific factors.

These legally acceptable reasons are:4

A seniority system.
A merit system, where pay is based on performance.
A system that measures earnings by the quantity or quality of production.
A legitimate, bona fide factor other than sex, race, or ethnicity, such as education, training, or experience.

The Strict Rules for the “Bona Fide Factor” Defense

The “bona fide factor” defense sounds simple, but the law places a very high bar on employers who use it.

To use this defense, the employer must prove that the factor is applied reasonably and that it accounts for the entire pay difference. They must also prove all of the following:

The factor is not based on or derived from a past discriminatory pay difference.
The factor is directly job-related to the position in question.
The factor is consistent with a “business necessity,” which means it serves an overriding, legitimate business purpose.5

Even if an employer can prove all three points, their defense can still fail.

The defense does not apply if you can show that an alternative business practice exists that would serve the same purpose without creating the pay gap.6

The Justification Must Cover the Entire Pay Gap

Finally, it’s not enough for an employer to give a vague reason for paying you less.

The law requires that the factor they rely on must account for the entire wage differential between you and your coworker.7

Your Right to Pay Transparency in California

Pay discrimination often thrives in secrecy.

The Equal Pay Act and related laws provide powerful tools to promote transparency. They ensure you have the information you need to advocate for fair compensation.

Discussing Your Pay

You have the right to talk about your wages with your coworkers. The law is very clear on this point.8

Your employer cannot prohibit you from:

Disclosing your own wages.
Discussing the wages of other employees.
Asking another employee about their wages.

While you have the right to ask, keep in mind that your coworkers don’t have to answer.

The law simply protects your right to have these conversations without fear of punishment from your employer.

The Salary History Ban

Past pay discrimination shouldn’t follow you throughout your career. To prevent this, California law prohibits potential employers from asking about your salary history.9

An employer cannot seek information about your past compensation, including wages and benefits. This ban applies to questions asked either orally or in writing.

While an employer can’t ask what you used to make, they are allowed to ask about your salary expectations for the position.

Your Right to Know the Pay Scale

California law requires employers to be upfront about how much a job pays.10

A “pay scale” is the salary or hourly wage range that the employer reasonably expects to pay for the position.

Your rights to this information include:

For Job Applicants: Upon reasonable request, an employer must provide you with the pay scale for a position you are applying for.
For Current Employees: You can ask your employer for the pay scale for the position you currently hold, and they must provide it.
In Job Postings: If an employer has 15 or more employees, it is required to include the pay scale for a position in any job posting.

Protection Against Retaliation

The law protects you when you exercise your rights. Your employer cannot punish you for taking action to enforce the Equal Pay Act.

This type of punishment is called retaliation.

It means your employer cannot legally fire, demote, or harass you for engaging in protected activities. They also can’t assign you demeaning tasks or discriminate against you in other ways.Protected activities under the Equal Pay Act include:11

Asking your employer for the pay scale for your position.
Asking coworkers about their pay or discussing your own wages.
Filing a complaint or lawsuit about unequal pay.
Assisting another employee with their own equal pay claim.

The 90-Day Rule: A Powerful Presumption

The law contains a powerful tool to help employees prove retaliation.

If your employer takes any negative action against you within 90 days of you exercising these rights, the law presumes it was illegal retaliation. This is called a rebuttable presumption.

In simple terms, the law assumes your employer is guilty.

The burden of proof then shifts to your employer. They must prove they had a legitimate, non-retaliatory reason for the action they took.

Taking Action to Enforce Your Right to Equal Pay

If you believe your employer is violating the law, it’s crucial to take organized, prompt action.

First, carefully document everything. Strong documentation is the foundation of any successful claim.

Keep written notes of relevant conversations about pay, your duties, or promotions. Include the date, time, and who was present.

Save copies of emails, text messages, and any other written communications.

If your employer gives a reason for a pay decision or negative action, write down their exact words as soon as you can.

Gather your pay stubs, contracts, and job descriptions for yourself and any coworkers you are comparing your pay to.

Next, you should consult with an experienced employment lawyer. Navigating the legal system is complex. An attorney can help you understand the strength of your case and the best path forward.

Understanding Your Legal Deadlines 

You must act quickly to protect your rights. The law sets strict deadlines, known as statutes of limitations, for filing a claim.

You generally have two years from the date of the violation to file a claim under the Equal Pay Act. If the employer’s violation was willful, the deadline extends to three years.12

Importantly, each unfair paycheck counts as a new violation. This rule can reset the clock for filing your claim with every payday.

You have two main paths to take action. You can file a claim with the California Labor Commissioner’s Office, or you can file a lawsuit directly in court.

Filing a claim with the Labor Commissioner’s Office starts an administrative process. The state investigates your claim, and the process can be less formal than court.

Filing a lawsuit is a more formal legal proceeding in the court system.

For a Equal Pay Act claim, you can choose either path. You don’t have to go to the Labor Commissioner before filing a lawsuit. An employment attorney can advise you on which option is better for your specific situation.

If you were punished for exercising your rights, you can file a retaliation claim. These are often brought under California’s Fair Employment and Housing Act (FEHA).

You must first file a complaint with the California Civil Rights Department (CRD). You have three years from the date of the retaliation to file this complaint.13 After the CRD investigates and gives you a “right-to-sue” letter, you have one year to file a lawsuit in court.14

What You Can Recover: Legal Remedies

If you prove a violation, you may be able to recover money and other remedies.

Unpaid Wages: This is the difference between what you were paid and what your higher-paid coworker earned. It is often called back pay and includes interest. For a retaliation claim where you were fired, it includes your lost wages.
Liquidated Damages: For a Equal Pay Act violation, the law provides for an additional penalty equal to the amount of your lost wages.15
Emotional Distress Damages: This is money to compensate you for the emotional harm caused by the violation, such as anxiety, humiliation, or mental suffering.
Punitive Damages: In cases of severe misconduct, a jury may award punitive damages. These are meant to punish the employer and prevent similar behavior in the future. This remedy is available under FEHA but not for a standalone Equal Pay Act violation.16 
Front Pay: If you were fired and getting your job back isn’t practical, a court may award front pay. This compensates you for wages you are likely to lose while finding a new job.
Attorney’s Fees and Costs: If you win your case in court, the law requires your employer to pay your reasonable attorney’s fees and legal costs. This is true for claims under both the Equal Pay Act and FEHA.17 

Answers to Common Questions About Your Right to Fair Pay

Question: Can I compare my pay to a coworker at a different office location?
Answer:  Yes. The California Equal Pay Act allows you to compare your pay to coworkers at any of your employer’s locations in California. You must be performing substantially similar work. The old requirement that employees had to work at the “same establishment” no longer applies.
Question: My employer has a policy against discussing salary, and a coworker isn’t comfortable sharing their pay. What can I do?
Your employer’s policy is illegal. California law explicitly protects your right to discuss your wages with coworkers. Your employer cannot prohibit these conversations. They also can’t retaliate against you for having them. However, the law only protects your right to ask. It does not force your coworkers to share their pay information if they choose not to.
Question: My employer found out they are paying me less than a male coworker for the same job. Can they lower his pay to match mine?
Answer:  No. The law is very clear on this point. An employer is prohibited from lowering any employee’s wages to comply with the Equal Pay Act and fix a discriminatory pay gap. To correct the violation, they must raise the pay of the lower-paid employee.

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