Kamala Harris wants to use the power of the presidency to close gender pay gap
Published Date: 5/20/2019
Source: axios.com
Kamala Harris wants to use the power of the presidency to close the gender pay gap.Driving the news: Her new proposal: Use executive action to ensure federal contractors act first, then get Congress to fine big companies 1% of profits for every 1% of pay gap.Past federal legislation put the burden on employees to sue or report their employers if gender-based pay discrimination was suspected.The big picture: While other 2020 Democrats have talked about unequal pay or more transparency from companies, Harris' proposal is the most concrete.Details: Legislative action would be required to impose her policy on private corporations.Companies with 100+ employees would have to obtain an “equal pay certification” every two years from the Equal Employment Opportunity Commission.Companies would have to prove pay gaps for similar jobs are based on something other than gender.This policy could generate $180 billion in 10 years, Harris' campaign estimates.That revenue would be spent on paid family and medical leave programs.What they're saying: “Closing the wage gap would mean tens of millions for women and their families," Vicki Shabo, a senior fellow at nonpartisan think tank New America, told HuffPost."It could wipe out student loan debt, give relief to homeowners, and literally put food on the table. It’s something that can help stimulate the economy.”Yes, but: "Penalties tend to slow compliance and undermine the goals that they seek to achieve," said Joseph Vaughan, executive director of Corporate Diversity and Inclusion Forum, a trade group. "I'm always concerned when people introduce policies with punitive fines and penalties that it will never be enacted into law."The bottom line: If things continue as is, women won't get equal pay until 2059.