Compensation discrimination

Compensation discrimination occurs when employees are paid unfairly based on factors unrelated to their job performance or qualifications, such as their race, gender, age, or other protected characteristics. This means two people performing the same work with similar skills and experience may receive different wages because of bias or discriminatory practices. Such disparities are illegal in many jurisdictions and undermine fairness and equal opportunity in the workplace. Addressing compensation discrimination involves ensuring pay practices are objective, consistent, and based solely on job-related criteria.