RI Senate Approves Bill Aimed At Closing Gender, Racial Pay Gap

PROVIDENCE, RI — March is Women's History Month, and Rhode Island lawmakers are taking steps to address issues of pay inequality in the state. On Wednesday, the Senate approved a bill that would offer protections to women and people of color to push for equal compensation.

Even in 2021, Rhode Island women are, on average, paid just 82 cents for every dollar earned by male counterparts. The pay gulf only widens for women of color: Black women make 59 percent of men's salaries, while Latinas are at 50 percent. That works out to women losing about $402,000 over a 40-year career, or upwards of $1 million for women of color.

"Everyone deserves to be paid fairly for their work," said Sen. Gayle Goldin, the bill's sponsor. "This legislation provides employees a more effective, realistic set of tools for addressing unfair pay practices, and it helps our state identify unequal pay where it occurs. Passing this legislation will address the gaping holes in our existing ‘fair pay’ laws and make real progress toward fixing the problem of pay inequality."

Under the bill, employers would be forbidden from paying women less than their white, male counterparts unless there is a "clearly documented" difference in skill level. It also clarifies the language of "comparable work," saying that equal pay is required for similar work, even if all duties are not identical. Further, the bill would make it illegal for employers to have policies that forbid employees from discussing salaries and calls for employers to disclose salary ranges when posting a job listing.

The bill would also require employers to focus on skills and performance, rather than salary history, when discussing compensation. The provision would break the chain that perpetuates pay inequality over time.

"Lower wages mean Rhode Island women are more likely to struggle with putting food on their table or paying for rent," Goldin continued. "While we have always known wage disparity is a problem, the pandemic has forced a disproportionate number of women out of the workforce completely, compounding the inequity women already faced. Passage of this bill would go a long way toward establishing financial stability for Rhode Island employees and their families."

The bill received near-universal support in the Senate, passing with a vote of 33 to 1. The bill's passing comes ahead of Equal Pay Day on March 26, which represents the amount of time it takes for women's earnings to catch up with men's from the year before.

If signed into law, it would take effect Jan. 1. It now heads to the House of Representatives, where companion legislation was sponsored by Rep. Susan Donovan.