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House of Representatives COMMONWEALTH OF PENNSYLVANIA HOUSE OF REPRESENTATIVES HOUSE LABOR AND INDUSTRY COMMITTEE HEARING STATE CAPITOL ROOM G-50, IRVIS OFFICE BUILDING HARRISBURG, PENNSYLVANIA THURSDAY, SEPTEMBER 18, 2014 9:30 A.M. IN RE: HOUSE BILL 1890 BEFORE: HONORABLE WILLIAM F. KELLER, MINORITY CHAIRMAN HONORABLE M. SHERYL DELOZIER HONORABLE MARK M. GILLEN HONORABLE GREGORY S. LUCAS HONORABLE RYAN E. MACKENZIE HONORABLE MARIA P. DONATUCCI HONORABLE PATRICK J. HARKINS HONORABLE PAM SNYDER ALSO IN ATTENDANCE: HONORABLE VANESSA BROWN HONORABLE ERIN MOLCHANY HONORABLE BRIAN SIMS ————————— JEAN DAVIS REPORTING 285 EAST MANSION ROAD • HERSHEY, PA 17033 Phone (717)503-6568 1 COMMITTEE STAFF PRESENT: 2 NOAH KARN, RESEARCH ANALYST LABOR AND INDUSTRY COMMITTEE (R) 3 JUANITA HOFFMAN, LEGISLATIVE ASSISTANT II LABOR AND INDUSTRY COMMITTEE (R) 4 JOANNE MANGANELLO, EXECUTIVE DIRECTOR LABOR AND INDUSTRY COMMITTEE (D) 5 6 7 8 9 10 11 12 13 14 JEAN M. DAVIS, REPORTER 15 NOTARY PUBLIC 16 17 18 19 20 21 22 23 24 25 2 1 I N D E X 2 TESTIFIERS 3 NAME PAGE 4 CARYN HUNT, PRESIDENT, PENNSYLVANIA NATIONAL 12 5 ORGANIZATION FOR WOMEN, (NOW) 6 SUSAN FRIESTSCHE, ESQUIRE, STAFF ATTORNEY, 19 WOMEN'S LAW PROJECT 7 DOT McLANE, Ph.D, PRESIDENT, AMERICAN 25 8 ASSOCIATION OF UNIVERSITY WOMEN (AAUW) PENNSYLVANIA 9 DEBORAH D. VEREEN, CCDP/AP, PRESIDENT, 30 10 THE VEREEN GROUP 11 ALEX HALPER, DIRECTOR, GOVERNMENT AFFAIRS 63 PENNSYLVANIA CHAMBER OF BUSINESS AND INDUSTRY 12 NEAL LESHER, LEGISLATIVE DIRECTOR, NATIONAL 70 13 FEDERATION OF INDEPENDENT BUSINESS (NFIB) PENNSYLVANIA 14 ELIZABETH MILITO, ESQUIRE, EXECUTIVE 74 15 COUNSEL, NFIB SMALL BUSINESS LEGAL CENTER 16 WRITTEN TESTIMONY RECEIVED FROM: J. SCOTT ROBINETTE, DEPUTY SECRETARY FOR 97 17 SAFETY AND LABOR-MANAGEMENT RELATIONS, PENNSYLVANIA DEPARTMENT OF LABOR & INDUSTRY 18 JANICE FANNING MADDEN, PROFESSOR, 99 19 UNIVERSITY OF PENNSYLVANIA 20 21 22 23 24 25 3 1 P R O C E E D I N G S 2 * * * 3 REPRESENTATIVE MACKENZIE: It's 9:30. I would 4 like to go ahead and call our committee to order. 5 And if we can all rise and start with the Pledge 6 of Allegiance, please. 7 (Pledge of Allegiance) 8 REPRESENTATIVE MACKENZIE: Well, thank you to 9 everyone who is joining us here today. We have a good 10 crowd. A number of members are here with us today. 11 Chairman Scavello would have liked to have joined us. He 12 has traveled back to the Northeast to attend the state 13 trooper's funeral that was held yesterday. 14 We will go ahead and start roll. If you can call 15 the roll, please. 16 (Roll call) 17 REPRESENTATIVE MACKENZIE: Great. Thank you. 18 Well, the purpose of today's hearing is to 19 discuss House Bill 1890 sponsored by Representative 20 Molchany. And we're going to actually start with the 21 Representatives, so if you would like to join us here. And 22 we're also being joined here by Representative Sims. 23 REPRESENTATIVE MOLCHANY: Thank you, 24 Mr. Chairman. 25 Good morning, Chairman Keller, Representative 4 1 Mackenzie -- Chairman Mackenzie, for today and my esteemed 2 colleagues. 3 I am State Representative Erin Molchany. And I 4 currently represent the 22nd Legislative District in this 5 General Assembly, which is the city of Pittsburgh and 6 Allegheny County. 7 I want to first take the opportunity to thank 8 everyone for being here today. I want to especially thank 9 Chairman Scavello for agreeing to hold this hearing. I 10 understand that he is not able to be here today because of 11 the tragic circumstances caused by cowardly acts. And I 12 want to also send my thoughts and prayers to Trooper 13 Douglass and to the families of Corporal Dickinson during 14 this difficult time. 15 I am honored to address this committee today as 16 the prime sponsor of House Bill 1890. More importantly, 17 however, is the privilege with which I am here today. I am 18 fortunate to be a woman working in a professional position 19 in which my salary is set in statute to the same amount as 20 all of my colleagues. 21 The legislation that I have introduced and the 22 conversation I hope to have at this hearing today is 23 intended to address the millions of women in this 24 Commonwealth who do not have the same protection. 25 Nationally and in our state, women are oftentimes 5 1 the primary breadwinners of households. Women graduate 2 with Bachelor's, Master's, and Doctorate degrees at a 3 higher rate than men. However, lacking more improved legal 4 protections than our current equal pay law offers, women 5 face pay discrimination every day. 6 No matter the study, year after year, our current 7 statute fails to solve the pervasive injustice of paying a 8 woman less for the same level and quality of work. 9 We have named House Bill 1890 the Workplace 10 Opportunity Act because the two central provisions of the 11 legislation are intended to level the playing field. No 12 one is here to radically institute unreasonable mandates or 13 regulations. Some may even point out that equal pay laws 14 exist and they need no adjustments or clarifications. 15 As I've learned in my first term in the House of 16 Representatives, laws are not always enforced at a level 17 which corrects the issue that they are intended to. And 18 sometimes we make laws that after years of enforcement have 19 significant unintended consequences. 20 House Bill 1890 seeks to take Pennsylvania's 21 existing pay law and close the remaining 23-cent to 10-cent 22 gap that still exists between what a woman makes for the 23 same work as her male counterparts. It seeks to clarify 24 the reasons for which an employer can pay someone a 25 different wage for the same work, that being education, 6 1 experience, or training. As of now, this is a gray area. 2 House Bill 1890 is also intended to offer 3 protection for workers who disclose their pay to a 4 coworker. The concept is simple. If you do not know that 5 you are being paid less for the same job and people are 6 prevented from telling you for fear that their employment 7 will be jeopardized, the inequity lingers. 8 Unfortunately, if the pay gap exists throughout a 9 20-year career, it can have a serious impact not only on a 10 woman's take-home pay but also retirement and pension 11 investments. 12 So what can we do about it? Today's hearing is 13 the first step in not just correcting the problem but also 14 making Pennsylvania a better place to live and work for all 15 of its residents. 16 Imagine if Pennsylvania became the model for all 17 states in respecting all of its workers and championing 18 equal pay for equal work. Imagine if we passed bills like 19 House Bill 1890 that could be the model for other states 20 grappling with the similar wage-quality issues. 21 Today you will hear testimony from business 22 leaders, legal experts, women's organizations, some of 23 which were around when the first equal pay laws were 24 drafted in the early 1960s. Who you will not hear from 25 today are the countless women who are currently battling 7 1 for pay equity in the courts, women who personally 2 experience pay inequality and who have had the courage to 3 fight back. 4 In most, if not all, cases, women who are 5 actively pursuing legal action against employers who do not 6 pay equally for equal work are either subject to gag orders 7 contingent upon their settlement or advised not to discuss 8 their case outside of court. While this is common, it 9 further exacerbates the issue of pay inequality if no one 10 is able to share their personal experiences. 11 So I again want to thank the Labor & Industry 12 Committee for taking up this important and often not 13 discussed issue of pay equity. As legislators we should 14 always be mindful of not only reacting to an issue and 15 creating laws to address it, but we should also be 16 proactively seeking to improve existing laws so they work 17 better for every Pennsylvanian. 18 I also want to take a minute and thank 19 Representative Donatucci who sits on this committee who has 20 also introduced House Bill 1250 in an effort to correct the 21 issue. I think that this is something that we all believe 22 Pennsylvania can really come together on in a non-partisan 23 way to make sure that everybody is respected in the 24 workplace. 25 Thank you. 8 1 REPRESENTATIVE MACKENZIE: Thank you. 2 Representative Sims. 3 REPRESENTATIVE SIMS: Thank you, Mr. Chairman, 4 Acting Chairman Mackenzie. And thank you to the members of 5 the committee for what I and the testifiers here today 6 believe to be a critical piece of legislation in combating 7 the illegal practice of pay inequity. 8 My name is Brian Sims. I'm a Representative in 9 the 182nd District in Center City, Philadelphia. 10 Coincidentally, it's the county in Pennsylvania that has 11 the lowest margin in the wage gap. I believe it's 83 cents 12 on a dollar. 13 Ultimately, what I hope you will all take away 14 from today's hearing is not the belief that we're trying 15 simply to pass a law to make paying women less than men 16 illegal.
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