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Everything You Need To Know About Equal Pay Day

Dustin Granger

Equal Pay Day is dedicated to raising awareness of the gender pay gap that exists throughout the world. The National Committee on Pay Equity–a group of U.S. labor unions, civil and women’s rights advocates, and professional associations–started this celebration in 1996 to eliminate wage discrimination and achieve pay equity across the country. 1

The United Nations adopted the first International Equal Pay Day on Sept. 18, 2020, to raise global awareness that women only make on average 80 cents for every dollar that men earn despite decades of activism. 2

Observation in the United States

In the United States, Equal Pay Day is different each year because it symbolizes how far in the year that a woman has to work to earn what a man did during the previous year.3 Equal Pay Day for 2022 was Tuesday, March 15, nine days earlier than it was in 2021.1 The hope is that the date will get closer to the start of the year until the gap disappears.

Women of Color

In some parts of the United States, later dates are celebrated by women of color, who suffer from a larger wage gap. For example, Black American women celebrate their Equal Pay Day on Sept. 21, 2022, which is when they make the same amount that white, non-Hispanic males did the previous year.4

Native American women take even longer to reach the threshold, with a date of Nov. 30 this year. Latinas have the biggest gap and do not celebrate their Equal Pay Day until Dec. 8, 2022.4

What Are the Goals of Equal Pay Day Observance?

Equal pay continues to be a problem in almost every country across the world. The observance of this day was created to:

• Raise an awareness that a gender pay gap exists.

• Provide reasons the gender pay gap exists.

• Gain more supporters.

• Provide supporters with information.

• Identify strategies to rectify the situation.

• Close the gender gap.

Pay differentials are common and permitted when they fall under the categories of seniority, merit, or have a basis on the quantity or quality of production. However, when the basis for a wage difference is based on sex (including pregnancy, gender identity, and sexual orientation), race, national origin, age (40 or older), disability, or genetic information of the worker, then wage discrimination occurs.5

Through the continued promotion and education of Equal Pay Day, the hope is that wage discrimination eventually will become a thing of the past.

Important Disclosures:

Content in this material is for educational and general information only and not intended to provide specific advice or recommendations for any individual.

All information is believed to be from reliable sources; however LPL Financial makes no representation as to its completeness or accuracy.

This article was prepared by WriterAccess.

LPL Tracking # 1-05295494.

Footnotes

1Equal Pay Day Tuesday, March 15, 2022, National Committee on Pay Equity, https://www.pay-equity.org/day.html

2Equal pay essential to build a world of dignity and justice for all, United Nations, https://news.un.org/en/story/2020/09/1072722

3 Equal Pay Day: March 15, 2022, https://www.census.gov/newsroom/stories/equal-pay-day.html

4 Equal Pay Day Calendar, American Association of University Women, https://www.aauw.org/resources/article/equal-pay-day-calendar/

5 Pay Discrimination, U.S. Equal Employment Opportunity Division, https://www.eeoc.gov/youth/pay-discrimination

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