Ensuring Fair Pay with the Clarke-Figures Equal Pay Act in Alabama

In a significant step towards pay equity, Alabama enacted the Clarke-Figures Equal Pay Act (CFEPA) on June 11, 2019, which took effect on September 1, 2019. This legislation aims to eliminate wage disparities based on race and sex, ensuring that employees receive equal pay for equal work. As businesses adapt to these regulations, understanding the implications of CFEPA and how to comply is crucial. Update: As of July 2025, the CFEPA continues to shape the employment landscape in Alabama, with recent developments highlighting its impact on wage discrimination cases.

Understanding the Clarke-Figures Equal Pay Act

The Clarke-Figures Equal Pay Act is designed to address wage discrimination and promote fairness in the workplace. Key provisions of the law include:

• Prohibition of Wage Discrimination: Employers cannot pay employees less than others of a different race or sex for equal work within the same establishment.
• Equal Work Criteria: The law specifies that equal work requires equal skill, effort, education, experience, and responsibility, performed under similar working conditions.
• Wage History: Employers are prohibited from asking for or using wage history to make employment decisions.
• Exceptions: Wage differentials are allowed if based on seniority, merit, production quantity or quality, or any factor other than sex or race.
• Heightened Pleading Standard: Employees must demonstrate with particularity that wage disparities are not due to permissible exceptions.

Recent Developments

In recent years, the Clarke-Figures Equal Pay Act has continued to shape the employment landscape in Alabama. Notably, the law has provided a new avenue for employees to challenge wage discrimination in state courts. One significant case is Terrell v. Alabama State University, where the 11th Circuit Court of Appeals revived Sha’Ola Terrell’s gender discrimination and equal pay claims [1]. Terrell, a former athletic department worker, alleged that she was paid less than her male counterpart for performing a comparable job. The appellate court’s decision to revive her claims underscores the ongoing relevance and impact of CFEPA in addressing wage disparities [2].

How Canopy Can Help

Canopy offers comprehensive solutions to help businesses comply with the Clarke-Figures Equal Pay Act and foster equitable pay practices:

1. Compliance Framework: Canopy provides a robust framework to help businesses develop and implement policies that comply with CFEPA. This includes guidelines for regular reviews and updates to ensure ongoing compliance.
2. Wage Analysis Tools: Canopy offers tools to analyze wage data and identify potential disparities. These tools help businesses ensure that their pay practices are fair and aligned with CFEPA requirements.
3. Training Programs: Canopy provides training programs to educate employees and managers about the importance of pay equity and the provisions of CFEPA. This helps create a culture of fairness and compliance within the organization.
4. Legal Support: Canopy’s legal experts can assist businesses in navigating the complexities of CFEPA, providing guidance on compliance and defending against potential claims.
5. Continuous Monitoring: Canopy’s solutions include continuous monitoring of pay practices to detect and address any emerging disparities. This proactive approach ensures that businesses remain compliant with CFEPA and other evolving regulations.

Conclusion

The Clarke-Figures Equal Pay Act represents a significant step towards achieving pay equity in Alabama. As businesses strive to comply with these regulations, Canopy’s comprehensive solutions provide the tools and support needed to ensure fair and transparent pay practices. By partnering with Canopy, businesses can not only comply with the law but also foster a culture of equity and fairness.