Wage Gap Formula:
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The Equal Pay MA Wage Gap Calculator measures the percentage difference between male and female average salaries according to Massachusetts Equal Pay Law guidelines. It helps employers assess potential pay disparities in their organizations.
The calculator uses the wage gap formula:
Where:
Explanation: The equation calculates the percentage by which female average salary is less than male average salary. A positive percentage indicates a wage gap favoring males.
Details: Under Massachusetts law, employers cannot pay differently based on gender for comparable work. Calculating wage gaps helps identify potential disparities that may require corrective action.
Tips: Enter average salaries for male and female employees in dollars. The calculator will show the percentage gap. Both values must be valid (male average > 0, female average ≥ 0).
Q1: What is considered a significant wage gap?
A: While any gap may warrant review, gaps exceeding 5% may require justification under Massachusetts law.
Q2: How should salary averages be calculated?
A: Averages should be calculated for employees performing comparable work in similar conditions.
Q3: What factors legally justify pay differences?
A: Differences based on seniority, merit, productivity, education, training, or experience may be permissible if not gender-based.
Q4: When should this analysis be conducted?
A: Employers should conduct regular pay equity analyses, especially before hiring decisions and annual reviews.
Q5: What are the consequences of non-compliance?
A: Violations may result in fines, back pay awards, and other remedies under Massachusetts law.