Ledbetter Act a Litigation Issue

The House is expected to hold a floor vote on H.R. 2831, the “Lilly Ledbetter Fair Pay Act.” The bill would virtually eliminate the current statute of limitations on employment discrimination claims. In effect, a discrimination claim could be filed against a company at which the owner or management committing the alleged offense is no longer working.

The bill institutes a “paycheck rule” that would restart the clock on the statute of limitations every time an employee is paid. This would allow an employee to wait until he/she had taken a new job or retired to file a discrimination claim. It could also apply to pensions or annuities, or any form of workplace benefit that is considered compensation for work performed.

The bill would also expand on who may file a discrimination claim by applying the statute to “affected individuals” (i.e., spouses, children). PIA/GATF is concerned this bill will increase litigation for printers, as it would include pension payments in the “paycheck rule.” The association lobbied the House to oppose the bill and has co-signed a letter opposing it.

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