Why the ‘Fair Pay Act’ is Unfair (#LibHippos)
January 30, 2009 by Jenn Sierra
Filed under News and Opinion
Once again, the government has meddled in the free market, and in the lives of American families. Once again, Democrats have focused on winning a battle, rather than the war.
This time, it’s the war for the American family.
Yesterday, President Barack Obama (D) signed into law the so-alled “Fair Pay Act,” or Lilly Ledbetter Law, named in honor of a woman who sued her employer and lost, for paying her less than her male counterparts.
Ironically, even Barack Obama (D) hasn’t lived up to the requirements in the law he so proudly smiled to the cameras and signed. CNS News is reporting that Obama’s male to female pay ratio is approximately that of most American employers, and that his female Senate staffers were paid 78% of their male counterparts.
So is Obama an male chauvinist? Probably not. He’s made himself into a hypocrite with this law, but there’s nothing in his record or attitude to indicate that he hates or undervalues women. He, or whoever he paid to handle his hiring, however, know a deep, dark truth that no one wants to admit. Women, generally, are not as valuable to an employer as men.
There. I said it. I know, I know – You can’t believe I said it. I’m sure those of you who don’t know me just looked up to see who wrote this crazy blog post, to see if it was a woman or a man. I assure you, I’m all woman.
Here’s the thing. Female employees typically – Yes, I know that stereotyping is a problem for a lot of folks, but the facts are the facts. What I’m about to say here applies to the majority of the female workforce. – Typical female employees are also typically the primary caregivers in their homes. They’re responsible for their children and their parents. They are the ones who need “flex” time to handle school activites and emergencies, doctor visits for family members, nursing home issues, and veterinarian visits. They’re the ones who usually stay home with sick kids and tend to the needs of their elderly family members. They are the ones who need at least six weeks at a time off after every pregnancy and (eventually) if necessary, a hysterectomy. They are the ones who are most likely to need to suddenly quit and re-locate if their husband’s job is relocated.
Yes, I know, we must applaud them for being the valiant troopers that they are. But the truth is that while they’re taking care of everything but work – their male counterparts are taking up the slack for what they are not there to do. Employers know this.
So now, thanks to the “Fair Pay Act,” employers are going to be forced to make some tough decisions. Proponents of the bill are undoubtedly hoping that all the women in the workforce will soon be getting pay raises. I can pretty much assure you that won’t be happening. In this economy, when employers are laying off rather than hiring, not very many people are getting raises. Sorry, girls.
The employers cannot demand equal work for equal pay. Thanks to President Bill Clinton’s (D) Family Medical Leave Act (FMLA), employers are forced to keep jobs open for up to 12 weeks for employees who need time off for pregnancy, adoption, or to care for aging and ill parents. This applies to men and women, but women are the ones most likely to take advantage of the unpaid leave. Typically, they are more likely to be able to afford to do it, because they are receiving help from their spouse, or their ex-spouse in the form of alimony and/or child support. Yes, I know, I know – I can hear you feminazis screaming now – There are exceptions, and sometimes men…. Whatever! The facts are the facts. This law has benefited more women than men.
And employers are forced to hire a certain number of women. They dare not have a politically incorrect male to female ratio on their staffs, or they will be sued for violating affirmative action laws. Just ask the EEOC, a John F. Kennedy (D) project.
So what are employers to do? If they’re going to pay men and women equally, they will have to begin paying men less. They won’t necessarily be issuing pay cuts, but raises for men will be fewer and further between, and male new-hires will now start out at a lower salary.
This includes men who are still fulfilling the traditional role of primary breadwinner in their family. Undoubtedly, over time, this reduction in income will result in more women needing to leave their kids in daycare, and enter the workforce – except for the weeks at a time when they can’t be at work, because they need to be home with the newborn, a sick gradeschooler, or a terminally ill parent.
This also includes men who are just, well, men trying to make a living for themselves. Their lifetime earning potential just dropped. Sorry, guys.


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Excellent analysis Jenn. I’d add that many employers will move to staffing agencies instead of direct employees. After all, if you use staffing agency people, they don’t actually work for you and you don’t pay them. And generally, employees make less working for a staffing agency than they would doing the same work as a direct employee.
I neglected to mention that when all the factors you mention are accounted for, the disparity in pay disappears! For example, a 40 year old woman who left the work force when she was 30 to have a child and returned at 36 when her child entered school makes about the same as a 34 year old man because they have approximately the same experience.
These are very good points on the staffing services, and the “years of experience” factor, Ron. Thanks!
You hit on some valuable points in your summary, however, may I add to it. First off, salary is typically negotiable. The more aggressive and the better you are at negotiating, you will get a higher salary. I think, statistically, women are less aggressive then men and therefore, settle for less. This isn’t always the case. I make more than my male colleagues because I was more aggressive in presenting my worth to the company. I guess this means I’ll take a pay cut now so we are truly equal. Thanks Obama.
Melissa – Do you give lessons? I think a lot of us could use your help!
I have a feeling you’re going to succeed in spite of Obama’s “help.”
The market is efficient.
If women were underpaid, then non-prejudiced employers would recruit them away from the biased ones, and outperform as a result.
That either doesn’t happen because they are being fairly paid, or it already has happened, and those unbiased employers have bid up women’s wages to an efficient level.
Now, if we go tinkering with efficiency, employers will decide the new law overcompensates women…and those women will be fired…or not hired in the first place.
Real smart.
Take some economics courses before you go messing around with labor markets. Non-economists are worthless as policy wonks. Worthless.
Excellent point Frank!
In the UK employers have to keep a job open for a year if a woman goes on maternity leave. I had a friend who told me she was going to go back and just work part time after the year, if you employ a woman you are not allowed to ask if she is pregnant or any plans of becoming pregnant so if I was running a business I would have to expect they would do (unfair I know) and take that into account. If someone leaves you can’t employ someone to replace them, because what if they come back, so you take on a temp, which is more expensive and less efficient since they need training to get used to the specifics of the business. In larger companies you have more flexibility over placements, but for medium size companies it can be a large problem (small companies are exempt from some of the regulations.)
Neil
Thanks for sharing that, Neil. I have friends in Germany, a married couple with small children, who run a BP staion, and got in a horrible spot a few years ago when they hired an employee to relieve them a few shifts a week so they could have some family time.
The employee got pregnant and had to be out of work. They were forced to pay her a full time salary and benefits for several months. They couldn’t afford to hire a new employee while they were still paying her not to work…because she “hadn’t decided” whether she would come back to work or not (she never did). The German employment laws and the thoughtlessness of this employee who felt entitled to take advantage of the law put them in a horrible position.
The Obamites and their union handlers are salivating over the prospect of creating law laws like the ones mentioned above in Britain and Germany.