Pay Equity Analysis
Ensuring people are paid fairly is more important for businesses today than ever before. Beyond strict legal requirements for equal pay, the focus has expanded to fairness and equity. Companies want to know their “wage gap” because in today’s environment, reputation and transparency matter. Combined with enhanced risk from potential litigation and government compliance, businesses need to be aware of and prepared to address any unexplained disparities in pay associated with gender, race, and age.
THE RESOLUTION ECONOMICS ADVANTAGE
Resolution Economics can help address that risk with customized analyses conducted by a team of pay equity experts, including highly experienced Ph.D. labor economists. We provide legally and statistically valid analyses and action plans that meet the specific business needs of each client at a reasonable and predictable cost. Over the past 20 years we have conducted these pay equity analyses for hundreds of clients in the U.S. and abroad as part of their annual promotion and pay adjustment processes. We typically work in collaboration with the Chief Human Resource Officer (CHRO) and in-house and/or outside counsel under attorney-client privilege to deliver hands-on work product that the client can use to manage pay equity. Our years of experience as testifying experts in pay equity litigation enhances our expertise beyond the typical pay equity consultants.
OUR PROCESS
We offer four phases of analysis tailored to the individual needs of each client. Throughout the process the client controls
- Timing
- Cost
- Breadth of analysis
We provide a broad analysis to identify potential areas of exposure. The scope of the work is limited to the typical analysis conducted by government auditors and experts for plaintiffs bringing employment claims.
If there are statistically significant disparities found in Phase I, we conduct the Phase II analyses applying the Resolution Economics Method. This consists of working extensively with the employer to develop a statistical model that most closely reflects the employment decision-making process and thus provides a more accurate modeling of “similarly-situated” employees.
To the extent necessary (as dictated by the work in Phases I and II) and in consultation with the CHRO and counsel, we will provide person-specific pay adjustment recommendations. Resolution Economics has a proprietary suite of statistical tools that allows the employer to set ranges for future pay adjustment recommendations on an ongoing basis that will eliminate risk-generating statistically significant pay disparities and help with compensation budgeting and planning.
Resolution Economics will work with the CHRO and counsel to assist the client in developing calibrated communications to the relevant range of pay equity stakeholders (e.g. employees, senior management, and investors). We will also assist the client in identifying any policy or processes changes that may limit future pay equity risk.
OUR PEOPLE
Our pay equity team includes
- Ph.D. labor economists
- Compliance and regulatory experts
- Industrial-Organizational psychologists
- Statisticians
- Data analysts and programmers
OUR CLIENTS
We provide pay equity analysis services to a broad range of U.S.-based and international employers, from Fortune 100 companies to tech start-ups.
Our clients include companies in:
- Communications
- Consulting/Professional Services
- Defense
- Education
- Energy
- Entertainment
- Finance
- Gaming
- Health Care
- Hospitality
- Insurance
- Law
- Manufacturing
- Pharmaceuticals
- Professional Sports
- Restaurants
- Retail
- Sciences
- Transportation
- Technology
- Utilities
