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Curious how eeoc protected classes will factor into reducing pay based on location. That seems like wage discrimination. Any employment laws that have been te

Curious how eeoc protected classes will factor into reducing pay based on location. That seems like wage discrimination. Any employment laws that have been tested around this in court? Sex/gender: I need my commute time to take care of my children. Health/medical condition/genetics: commuting increases my blood pressure, triggers anxiety and panic, and reduces my overall mental and physical health and quality of life.

benrbray 5y ago
"Your address is in the poor side of town, so obviously your cost of living is less and I don't need to pay you as much!"
- alistairSH 5y ago
  Quite literally. I don’t know the resolution of geographic pay my employer uses (I suspect it’s by metropolitan area, but could easily be down to zip code), but I do have access to the regional differences of my employees (several large offices globally, and many remote employees). Same for my wife’s employer (several large offices, very few fully remote employees). Wife’s company makes explicit comp adjustments if an employer moved. Mine does not, but it does impact future adjustments.
- stadium 5y ago
  Living in the poor side of town often correlates to a history of systemic racism and redlining.
tzs 5y ago
If there is a problem, I think they will be able to get around it breaking pay into two parts. 1. A base amount that is based solely on the job to be done and the level of skill and experience required. The base pay is the same no matter where you live and is the same regardless of whether the work is done remotely or at one of their offices. 2a. If the company requires you to do the work at a particular location, or lets you work at home part of the time but requires you to come to a particular location often enough that you have to live in the general area of that location, they can pay an additional amount based on the cost of living in that area. 2b. If the company imposes geographical constraints on remote employees, such as requiring them to live in specific countries, states, or timezones, they can pay an additional amount based on the cost of living in those countries, states, or timezones. The key is to only have pay depend on location to the extent that the company constrains the worker's location. That should be very unlikely to run afoul of discrimination law.
- stadium 5y ago
  > The key is to only have pay depend on location to the extent that the company constrains the worker's location When the worker has agency to chose remote vs in office, tying pay to physical location seems like coercion though. Doesn't that constrain the worker? "Live in this specific area and come to the office and we will maintain your current pay. Else, you have to take a pay cut for the same role and work output" Maybe this is a reason why some companies are hesitant to have it both ways and are inclined to force people back to the office. Could they be reducing legal exposure to equal pay lawsuits?

benrbray 5y ago

"Your address is in the poor side of town, so obviously your cost of living is less and I don't need to pay you as much!"

alistairSH 5y ago
Quite literally. I don’t know the resolution of geographic pay my employer uses (I suspect it’s by metropolitan area, but could easily be down to zip code), but I do have access to the regional differences of my employees (several large offices globally, and many remote employees). Same for my wife’s employer (several large offices, very few fully remote employees). Wife’s company makes explicit comp adjustments if an employer moved. Mine does not, but it does impact future adjustments.
stadium 5y ago
Living in the poor side of town often correlates to a history of systemic racism and redlining.

tzs 5y ago

If there is a problem, I think they will be able to get around it breaking pay into two parts. 1. A base amount that is based solely on the job to be done and the level of skill and experience required. The base pay is the same no matter where you live and is the same regardless of whether the work is done remotely or at one of their offices. 2a. If the company requires you to do the work at a particular location, or lets you work at home part of the time but requires you to come to a particular location often enough that you have to live in the general area of that location, they can pay an additional amount based on the cost of living in that area. 2b. If the company imposes geographical constraints on remote employees, such as requiring them to live in specific countries, states, or timezones, they can pay an additional amount based on the cost of living in those countries, states, or timezones. The key is to only have pay depend on location to the extent that the company constrains the worker's location. That should be very unlikely to run afoul of discrimination law.

stadium 5y ago
> The key is to only have pay depend on location to the extent that the company constrains the worker's location When the worker has agency to chose remote vs in office, tying pay to physical location seems like coercion though. Doesn't that constrain the worker? "Live in this specific area and come to the office and we will maintain your current pay. Else, you have to take a pay cut for the same role and work output" Maybe this is a reason why some companies are hesitant to have it both ways and are inclined to force people back to the office. Could they be reducing legal exposure to equal pay lawsuits?