By Thompson H.B. No. 1082 77R4321 PB-F 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 three or 1-17 more employees. The term includes the state and a political 1-18 subdivision of the state. 1-19 (4) "Equivalent job" means a job or occupation that: 1-20 (A) constitutes equal work as that term is used 1-21 under 29 U.S.C. Section 206(d); or 1-22 (B) is dissimilar but whose requirements are 1-23 equivalent if viewed as a composite of skills, effort, 1-24 responsibility, and working conditions. 2-1 (5) "Labor organization" has the meaning assigned by 2-2 Section 21.002. 2-3 (6) "Market rate" means the rate that employers within 2-4 a prescribed geographic area actually pay, or are reported to pay, 2-5 for specific jobs, as determined by formal or informal surveys, 2-6 wage studies, or other means. 2-7 (7) "Wages" has the meaning assigned by Section 2-8 61.001. 2-9 Sec. 24.002. PROHIBITION AGAINST DISCRIMINATION IN WAGES. 2-10 (a) It is an unlawful employment practice in violation of this 2-11 chapter and Chapter 21 for an employer to discriminate among 2-12 employees on the basis of race, color, disability, religion, sex, 2-13 national origin, or age, by paying wages to an employee: 2-14 (1) at a rate less than the rate paid to an employee 2-15 who is not a member of a protected class described by this 2-16 subsection for work in an equivalent job; or 2-17 (2) in a job that is dominated by employees of a 2-18 particular race, color, disability, religion, sex, national origin, 2-19 or age, at a rate less than the rate that the employer pays to 2-20 employees in another job that is dominated by employees of the 2-21 opposite sex or of a different race, color, religion, national 2-22 origin, or age for work on equivalent jobs. 2-23 (b) Notwithstanding Subsection (a), it is not an unlawful 2-24 employment practice for an employer to pay different wage rates to 2-25 employees if the difference is based on: 2-26 (1) a bona fide seniority or merit system; 2-27 (2) a system that measures earnings by quantity or 3-1 quality of production; or 3-2 (3) a bona fide factor other than race, color, 3-3 disability, religion, sex, national origin, or age. 3-4 (c) For purposes of Subsection (b)(3), a wage differential 3-5 based on varying market rates for equivalent jobs or the differing 3-6 economic benefits to the employer of equivalent jobs is not 3-7 considered a differential based on a bona fide factor other than 3-8 race, color, disability, religion, sex, national origin, or age. 3-9 (d) An employer who is paying wages in violation of this 3-10 section may not, in order to comply with this section, reduce the 3-11 wage of an employee. 3-12 (e) A labor organization or its agents representing 3-13 employees of an employer who has employees subject to this chapter 3-14 may not cause or attempt to cause the employer to discriminate 3-15 against an employee in violation of Subsection (a). 3-16 (f) The Commission on Human Rights by rule shall adopt 3-17 guidelines specifying the criteria for determining whether a job is 3-18 dominated by employees of a particular race, color, disability, 3-19 religion, sex, national origin, or age. The criteria must include: 3-20 (1) whether the job has ever been formally classified 3-21 as or traditionally considered to be a "male" or "female" job or a 3-22 "white" or "minority" job; 3-23 (2) whether there is a history of discrimination 3-24 against persons in a protected class with regard to wages, 3-25 assignment, access to jobs, or other terms and conditions of 3-26 employment; and 3-27 (3) the demographic composition of the workforce in 4-1 equivalent jobs. 4-2 (g) The guidelines adopted under Subsection (f) may not 4-3 include a list of jobs. 4-4 Sec. 24.003. OTHER PROHIBITED ACTS. It is an unlawful 4-5 employment practice in violation of this chapter and Chapter 21 4-6 for an employer to: 4-7 (1) take an adverse action or otherwise discriminate 4-8 against a person because the person has: 4-9 (A) opposed an act or practice made unlawful by 4-10 this chapter; 4-11 (B) sought to enforce rights protected under 4-12 this chapter; or 4-13 (C) testified, assisted, or participated in any 4-14 manner in an investigation, hearing, or other proceeding to enforce 4-15 this chapter; or 4-16 (2) discharge or in any other manner discriminate 4-17 against, coerce, intimidate, threaten, or interfere with an 4-18 employee or other person because the person: 4-19 (A) inquired about, disclosed, compared, or 4-20 otherwise discussed an employee's wages; or 4-21 (B) exercised or enjoyed, or aided or encouraged 4-22 another person to exercise or enjoy, any right granted or protected 4-23 by this chapter. 4-24 Sec. 24.004. WAGE DISCLOSURE, RECORDKEEPING, AND REPORTING 4-25 REQUIREMENTS. (a) On the commencement of a person's employment and 4-26 at least annually thereafter, each employer subject to this chapter 4-27 shall provide to each employee a written statement sufficient to 5-1 inform the employee of the employee's job title and wage rate and 5-2 the method used to compute the wage. The employer shall supplement 5-3 the notice when the employee is promoted or reassigned to a 5-4 different position with the employer. The employer is not required 5-5 to issue supplemental notices for a temporary reassignment that is 5-6 for a term that does not exceed three months. 5-7 (b) Each employer subject to this chapter shall compile and 5-8 maintain records that contain: 5-9 (1) the wages paid to each employee; and 5-10 (2) the method, system, computations, and other 5-11 factors used to establish, adjust, and determine the wage rates 5-12 paid to the employee. 5-13 (c) The employer shall maintain the records required under 5-14 Subsection (b) for the period required by rules adopted by the 5-15 Texas Workforce Commission and shall submit reports based on those 5-16 records to the Texas Workforce Commission and the Commission on 5-17 Human Rights as prescribed by rules adopted by those agencies. 5-18 Those rules shall protect the confidentiality of employees and must 5-19 expressly require that the reports not include the names or other 5-20 identifying information from which a person could discern the 5-21 identity of an employee. The rules may also specify circumstances 5-22 that warrant a prohibition on disclosure under Chapter 552, 5-23 Government Code, of the report or of information identifying the 5-24 employer. 5-25 (d) The Texas Workforce Commission and Commission on Human 5-26 Rights may use the information collected under Subsection (c) for 5-27 statistical and research purposes and may compile and publish 6-1 studies, analyses, reports, and surveys based on that information 6-2 as considered appropriate by those agencies. 6-3 Sec. 24.005. COMPLAINT; ENFORCEMENT. (a) A person aggrieved 6-4 by an unlawful employment practice under this chapter may file a 6-5 complaint with the Commission on Human Rights. A complaint filed 6-6 under this section is subject to Subchapters E and F, Chapter 21. 6-7 (b) The Commission on Human Rights shall enforce this 6-8 chapter in accordance with Chapter 21. 6-9 SECTION 2. (a) Except as provided by Subsection (c) of this 6-10 section, this Act takes effect September 1, 2001. 6-11 (b) The Texas Workforce Commission and the Commission on 6-12 Human Rights shall adopt rules as required by Chapter 24, Labor 6-13 Code, as added by this Act, not later than December 1, 2001. 6-14 (c) Section 24.005, Labor Code, as added by this Act, takes 6-15 effect January 1, 2002.