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LILLY LEDBETTER ACTWHY YOU MAY NEED A COMPENSATION AUDIT1Lilly Ledbetter ActPresident Obama signed the bill into law Thursday, January, 29, 2009. This new law overturns a U.S. Supreme Court decision that said a woman (Lilly Ledbetter) could not sue for pay discrimination she had endured for 20 years for one simple reason. – She hadn't sued within 180 days of the original discrimination. – Ledbetter had argued that the discrimination occurred—and the clock restarted—every time she received a paycheck less than her male peers, but the justices disagreed.2Proceed With CautionThe Ledbetter Act is complex – It is retroactive to May 28, 2007 (the day before the U.S. Supreme Court ruled against Ledbetter in her lawsuit) – It applies to all pay discrimination charges that were pending on or after that date. – the Lilly Ledbetter Fair Pay Act says that discrimination would be deemed to occur every time a new paycheck is delivered – Consult with counsel and make sure you don't create unnecessary trouble for yourself. 3Attorney-Client PrivilegeImplement The Attorney-Client Privilege for all compensation audits.– In doing so, the organization may be able safeguard the audit results against disclosure. – By having the compensation audit conducted under the supervision of corporate or outside counsel, The Attorney-Client Privilege could be invoked. In general, this privilege protects the confidential exchange of information between the organization ...
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