Summary of Standard or Regulation: (Generally as quoted from source)

A bill to amend title VII of the Civil Rights Act of 1964 and the Age Discrimination in Employment Act of 1967, and to modify the operation of the Americans with Disabilities Act of 1990 and the Rehabilitation Act of 1973, to clarify that a discriminatory compensation decision or other practice that is unlawful under such Acts occurs each time compensation is paid pursuant to the discriminatory compensation decision or other practice, and for other purposes.
The Fair Pay Act allows employees to sue at the time of an alleged discriminatory pay practice, or at any time thereafter if the employee is affected by that compensation decision. At the latest, employees will still have to file a charge with the EEOC within 180 days of termination.
Section (3)(A) of the Act states:
“For purposes of this section, an unlawful employment practice occurs, with respect to discrimination in compensation … when a discriminatory compensation decision or other practice is adopted, when an individual becomes subject to a discriminatory compensation decision or other practice, or when an individual is affected by application of a discriminatory compensation decision or other practice, including each time wages, benefits, or other compensation is paid, resulting in whole or in part from such a decision or other practice.”
The Act permits employees to recover up to two years in back pay.
The Act extends the time to sue not only for instances of sex discrimination, but also other Title VII categories, including race, color, religion and national origin. The Act also amends the ADA and the ADEA so that the same rule applies to disability discrimination and age discrimination claims.

Applicable To:
The Ledbetter Fair Pay Act is retroactive to May 28, 2007 and applies to all lawsuits pending on or after that date.
The Act overturns a 2007 Supreme Court decision addressing the time limit for workers to file pay discrimination claims. Under the Act, the time limit for pay discrimination claims will now start anew each time a paycheck is issued, permitting employees to bring claims for pay decisions made years or even decades earlier.
The law specifically amends Title VII of the Civil Rights Act, the Americans with Disabilities Act, the Rehab Act and the Age
Discrimination in Employment Act making clear that an unlawful employment practice occurs when:

1. A discriminatory compensation decision or practice is adopted;
   
2. An individual becomes subject to the decision or practice; or
   
3. An individual is affected by the decision or practice, specifically including each time compensation is paid.
   

Consistent with current application of discrimination laws, an individual may only seek back pay damages for the two year period preceding the filing of a Charge of Discrimination.

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