New Mexico Passes Fair Pay for Women Act

Author: Beth P. Zoller, XpertHR Legal Editor

New Mexico employees will soon be able to bring wage discrimination claims directly in state court under the state's new equal pay law. On March 14, 2013, Governor Susana Martinez signed the Fair Pay for Women Act (Act), which prohibits wage discrimination based on an employee's sex. +2013 Bill Text NM H.B. 216. The Act also protects from retaliation those employees who assert any claims or rights under the law, or who assist another person in doing so.

Modeled on the federal Lilly Ledbetter Fair Pay Act of 2009, the new stand-alone equal pay law applies to employers with four or more employees and goes into effect in June 2013. The Fair Pay for Women Act builds on the existing New Mexico Human Rights Act, which prevents employers from discriminating on the basis of gender by ensuring that men and women receive equal pay for equal work. The law contains certain limited exceptions for wage differentials based on factors other than sex (e.g., a seniority system).

Under the new law, employees could bring claims for wage discrimination directly to state court without first pursuing administrative remedies. To succeed in a state court claim, the claimant must show a pay disparity based on sex. A court may award unpaid wages, actual damages, punitive damages, treble damages, reasonable costs, attorney fees and any other remedies it deems fair.

New Mexico employers should immediately review and revise (if necessary) their workplace policies and practices related to compensation and record retention in accordance with the Act.