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MEMO TO: MAYOR AND CITY CO L <br /> "wo.:-.41P <br /> FROM: CLERK-ADMINISTRA W <br /> DATE: JUNE 12, 1990 <br /> SUBJECT: 1990 PAY EQUITY LEGISLATION (CHAPTER 512) <br /> The original Pay Equity Law for Minnesota was adopted by the <br /> Legislature in 1984 was amended in 1986 and 1988. The most <br /> recent amendment approved by the Legislature this year, <br /> however, clearly appears to be the most onerous for the City <br /> since the adoption of the original legislation. The 1990 <br /> amendments change the definition of implementation, require <br /> all cities to file an implementation report by January 31, <br /> 1992, clarify existing penalties for non-compliance, and <br /> provide that no penlaties take effect until after the <br /> Department of Employee Relations submits their report to the <br /> Legislature. <br /> A summary of the significant sections of the Pay Equity Law as <br /> it now stands is as follows. <br /> 1. Definition. - The new definition in the Law states that <br /> equitable compensation relationship means that, " . . . <br /> • the compensation for female dominated classes is not <br /> consistently below the compensation for male dominated <br /> classes of comparable work value. " <br /> The change in this definition will prevent cities using <br /> corridors where wages for jobs of similar value can <br /> have a 10 to 20 percent difference. The Law does not <br /> require a particular line as long as the compensation <br /> levels for jobs are fully integrated when analyzed by <br /> gendor. The impact on the City of Mounds View is that <br /> we will have to combine all of our employee groups <br /> under one pay structure and fully integrate wages for <br /> male and female jobs such that the Department of <br /> Employee Relations will not be able to interpret that <br /> our wage structure is inconsistent with the Law. I <br /> will be addressing the issue of how the Department of <br /> Employee Relations will be enforcing this Law in a <br /> later section of this memo. <br /> 2 . Purpose. - The purpose of the Bill is to, " . . .eliminate <br /> sex based wage disparities in public employement. " <br /> This section states that those setting salaries should <br /> consider comparable work value in relationship to other <br /> employee positions within the political subdivision. <br /> In addition, the Law does not limit the ability of the <br /> parties to collectively bargain in good faith. <br /> • <br />