Compensation Analysis
How can we help you?
Equal pay directives have come straight from the White House and have intensified over the years with the passing of recent legislation. Ensuring equal pay between similarly situated employees is not only necessary to avoid legal exposure, but it is also paramount to ensure employee moral.
Career Resources continually monitors the standards used by the Equal Employment Opportunity Commission (EEOC) and the Office of Federal Contract Compliance Programs (OFCCP) to identify systemic compensation discrimination between females vs. males and minorities vs. non-minorities. Our approach is to clearly understand your compensation process and what factors are used in determining how employees are compensated. Once we understand your process, we begin crunching the numbers using the same statistical tests used by the EEOC and OFCCP. Tests and results can vary and are dependent upon what our clients are looking for, but ultimately all results are used to identify disparate pay between all employees, not only the protected classes of females and minorities.
New OFCCP Standard
The OFCCP has modified its standard for identifying systemic compensation discrimination with a multiple regression technique. The OFCCP has also formed a Division of Statistical Analysis and has hired expert level statisticians to review your compensation. OFCCP compensation analyses measure disparate pay between females vs. males and minorities vs. non-minorities. Recent legislation has increased the level of scrutiny of a federal contractor's pay practices during an OFCCP audit.
The Career Resources team is trained in the approved statistical analysis methodology. Once the calculations are completed, we can deliver instructions and guide you as to what defensive arguments are available and what corrective action can be taken to support and defend your organizational decisions with corroborating salary data. Should compensation discrepancies exist, they must be identified and corrected before an audit. Back-pay and make-whole-relief can get very expensive should the OFCCP direct the company to fix the problem.