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September 22, 2023

Lynne Anderson Shares Best Practices for Pay Equity Audits With StrategicCHRO360

In “4 Keys To A Strong Pay Equity Audit,” StrategicCHRO360 turned to labor and employment partner Lynne Anderson for insight on how organizations and HR leaders can ensure they are providing equitable compensation to all employees.

In the Q&A, Anderson addresses the following four questions:

  1. Have you established a privileged pay equity audit team so your audit work, including the statistical analysis, can be protected by the attorney-client/work product privileges and not be subject to disclosure to agencies or plaintiffs’ attorneys?
  2. As you build your database for the statistical analysis, have you included all of the relevant employee information, grouped employees appropriately, accounted for all compensation variables and not just salary, and built in the applicable control factors before running the initial analysis?
  3. Once you have the initial results, what do you need for the cohort review of areas that have statistically significant differences in pay requiring further research to explain the differentials?
  4. Once the audit is completed, what types of remedial action should be considered?
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