Companies need to prepare for new U.S. government reporting requirements, known as EEO-1, which call for private employers with 100 or more employees (or those with 50 or more employees that have a federal government contract) to provide summary pay data and
hours worked along with demographic details including gender, race and ethnicity. The new reporting requirements take effect starting in March of 2018. As they prepare, many organizations want to dig deeper into understanding their pay practices.
To help in their quest for insights into pay practices, and building on a more than six-decade history of helping clients manage all forms of legislative and regulatory change, ADP has launched Pay Equity Explorer, powered by ADP DataCloud. Built on the biggest dataset in Human Capital Management, Pay Equity Explorer combines analytics and benchmarking to help employers gain a better understanding of
potential pay gaps and identify specific groups of employees for further analysis.
Specifically, Pay Equity Explorer can:
- Identify potential pay gaps in jobs being performed by people in specific EEOC Protected Classes
- Examine and address potential pay equity gaps at the intersections of race, gender, location and
job to determine if action is required
- Deliver “decision-quality” benchmarking data that helps ensure pay is not only equitable, but is
“Pay equity is not just a compliance issue, it is a critical business issue with a real impact on talent attraction and retention,” said Don Weinstein, chief strategy officer, ADP. “Most organizations have difficulty accessing the necessary information to even understand if they have an issue. Now, with our Pay Equity Explorer, organizations can dive deeper into their pay practices and identify areas for improvement they may have not known before.”
While companies need to get ahead of the new EEO-1 reporting requirement, they also need to address the growing expectation among current and future employees, business owners, investors and others when it comes to equitable pay practices. However, according to ADP Research Institute data, when it comes to awareness of the new EEOC requirements, just over half of mid-sized and nearly three-quarters of large companies are aware of these requirements, but only 20% report having a plan in place to manage these requirements. And, just about half of companies feel extremely or very confident they will be able to comply with the law by 2018.
To learn more about Pay Equity Explorer, to schedule a live product demo, or for additional resources about EEOC regulations, please visit http://adp.com/equalpay.