By Thompson, Hamric, Rangel, H.B. No. 1082 A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to a prohibition on employment discrimination in 1-3 compensation; providing penalties. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Subtitle A, Title 2, Labor Code, is amended by 1-6 adding Chapter 24 to read as follows: 1-7 CHAPTER 24. EMPLOYMENT DISCRIMINATION REGARDING COMPENSATION 1-8 Sec. 24.001. DEFINITIONS. In this chapter: 1-9 (1) "Employ" means to suffer or permit to work. 1-10 (2) "Employee" means a person employed by an employer. 1-11 The term includes all of an employer's permanent employees, whether 1-12 working full-time or part-time, and any temporary employee employed 1-13 by an employer for a period of at least three months. The term 1-14 does not include a person employed by the person's parents, spouse, 1-15 or child. 1-16 (3) "Employer" means a person who employs 50 or more 1-17 employees. The term includes the state and a political subdivision 1-18 of the state. 1-19 (4) "Equivalent job" means a job or occupation the 1-20 performance of which requires equal skill, effort, and 1-21 responsibility and that is performed under similar working 1-22 conditions. 1-23 (5) "Labor organization" has the meaning assigned by 1-24 Section 21.002. 1-25 (6) "Market rate" means the rate that employers within 2-1 a prescribed geographic area actually pay, or are reported to pay, 2-2 for specific jobs, as determined by formal or informal surveys, 2-3 wage studies, or other means. 2-4 (7) "Wages" has the meaning assigned by Section 2-5 61.001. 2-6 Sec. 24.002. PROHIBITION AGAINST DISCRIMINATION IN WAGES. 2-7 (a) It is an unlawful employment practice in violation of this 2-8 chapter and Chapter 21 for an employer to discriminate among 2-9 employees on the basis of race, color, disability, religion, sex, 2-10 national origin, or age by paying wages to an employee at a rate 2-11 less than the rate paid to an employee who is not a member of a 2-12 protected class described by this subsection for work in an 2-13 equivalent job. 2-14 (b) Notwithstanding Subsection (a), it is not an unlawful 2-15 employment practice for an employer to pay different wage rates to 2-16 employees if the difference is based on: 2-17 (1) a bona fide seniority or merit system; 2-18 (2) a system that measures earnings by quantity or 2-19 quality of production; or 2-20 (3) a bona fide factor other than race, color, 2-21 disability, religion, sex, national origin, or age. 2-22 (c) For purposes of Subsection (b)(3), a wage differential 2-23 based on varying market rates for equivalent jobs or the differing 2-24 economic benefits to the employer of equivalent jobs is considered 2-25 a differential based on a bona fide factor other than race, color, 2-26 disability, religion, sex, national origin, or age. 2-27 (d) An employer who is paying wages in violation of this 3-1 section may not, in order to comply with this section, reduce the 3-2 wage of an employee. 3-3 (e) A labor organization or its agents representing 3-4 employees of an employer who has employees subject to this chapter 3-5 may not cause or attempt to cause the employer to discriminate 3-6 against an employee in violation of Subsection (a). 3-7 (f) The Commission on Human Rights by rule shall adopt 3-8 guidelines specifying the criteria for determining whether a job is 3-9 dominated by employees of a particular race, color, disability, 3-10 religion, sex, national origin, or age. The criteria must include: 3-11 (1) whether the job has ever been formally classified 3-12 as a "male" or "female" job or a "white" or "minority" job; 3-13 (2) whether there is a history of discrimination 3-14 against persons in a protected class with regard to wages, 3-15 assignment, access to jobs, or other terms and conditions of 3-16 employment; and 3-17 (3) the demographic composition of the workforce in 3-18 equivalent jobs. 3-19 (g) The guidelines adopted under Subsection (f) may include 3-20 a list of jobs. 3-21 Sec. 24.003. OTHER PROHIBITED ACTS. It is an unlawful 3-22 employment practice in violation of this chapter and Chapter 21 3-23 for an employer to: 3-24 (1) take an adverse action or otherwise discriminate 3-25 against a person because the person has: 3-26 (A) opposed an act or practice made unlawful by 3-27 this chapter; 4-1 (B) sought to enforce rights protected under 4-2 this chapter; or 4-3 (C) testified, assisted, or participated in any 4-4 manner in an investigation, hearing, or other proceeding to enforce 4-5 this chapter; or 4-6 (2) discharge or in any other manner discriminate 4-7 against, coerce, intimidate, threaten, or interfere with an 4-8 employee or other person because the person: 4-9 (A) inquired about, disclosed, compared, or 4-10 otherwise discussed an employee's wages; or 4-11 (B) exercised or enjoyed, or aided or encouraged 4-12 another person to exercise or enjoy, any right granted or protected 4-13 by this chapter. 4-14 Sec. 24.004. WAGE DISCLOSURE, RECORDKEEPING, AND REPORTING 4-15 REQUIREMENTS. (a) On the request of an employee, and not more 4-16 than once annually thereafter, each employer subject to this 4-17 chapter shall provide to each employee a written statement 4-18 sufficient to inform the employee of the employee's job title and 4-19 wage rate. On the employee's request, the employer shall 4-20 supplement the notice when the employee is promoted, receives a 4-21 raise, or is reassigned to a different position with the employer. 4-22 The employer is not required to issue supplemental notices for a 4-23 temporary reassignment for a term that does not exceed three 4-24 months. For purposes of this subsection, an employee's pay stub 4-25 constitutes a sufficient written statement if the pay stub includes 4-26 the employee's job title and wage rate. 4-27 (b) The Texas Workforce Commission shall submit the 5-1 information contained in quarterly unemployment insurance records 5-2 on an annual basis to the Commission on Human Rights. The 5-3 Commission on Human Rights shall maintain the records on file for a 5-4 period not to exceed five years. The Commission on Human Rights 5-5 shall adopt rules that protect the confidentiality of employees and 5-6 shall expressly require that the reports not include names or other 5-7 identifying information from which a person could discern the 5-8 identity of an employee. The rules may also specify circumstances 5-9 that warrant a prohibition on disclosure under Chapter 552, 5-10 Government Code, of the report or of information identifying the 5-11 employer. 5-12 (c) The Commission on Human Rights may use the information 5-13 collected under Subsection (b) for statistical and research 5-14 purposes and may compile and publish studies, analyses, reports, 5-15 and surveys based on that information as considered appropriate by 5-16 that commission. 5-17 (d) The Commission on Human Rights shall issue a report to 5-18 the legislature before the start of each regular legislative 5-19 session on the extent and nature of wage discrimination from 5-20 information gathered under this section and from complaints 5-21 received by the commission. 5-22 Sec. 24.005. COMPLAINT; ENFORCEMENT. (a) A person aggrieved 5-23 by an unlawful employment practice under this chapter may file a 5-24 complaint with the Commission on Human Rights. A complaint filed 5-25 under this section is subject to Subchapters E and F, Chapter 21. 5-26 (b) The Commission on Human Rights shall enforce this 5-27 chapter in accordance with Chapter 21. 6-1 (c) The Commission on Human Rights may request any employer 6-2 subject to a complaint under this chapter to compile records that 6-3 contain: 6-4 (1) the wage paid to each employee; and 6-5 (2) the method, system, computations, and other 6-6 factors used to establish, adjust, and determine the wage rates 6-7 paid to the employee. 6-8 SECTION 2. (a) Except as provided by Subsection (b) of this 6-9 section, this Act takes effect September 1, 2001. 6-10 (b) Section 24.005, Labor Code, as added by this Act, takes 6-11 effect January 1, 2003.