The Maryland Insurance Administration has agreed to settle a lawsuit filed by the U.S. Equal Employment Opportunity Commission that accused the agency of paying three female fraud investigators less than their male counterparts for the same work.
The disparity violated the federal Equal Pay Act, the lawsuit said.
The agency will pay about $37,000 in back pay and damages to settle the lawsuit. It must create specific “non-gender-based criteria for setting wages,” according to the EEOC. And it will post a notice outlining its obligation to meet the criteria and report to the EEOC about how it handles any future complaints of sex-based wage discrimination.
“We are pleased that the Maryland Insurance Administration worked closely with us to resolve this case, ensuring a fair result and avoiding further litigation costs,” Debra M. Lawrence, an EEOC regional attorney, said in a statement. “This settlement protects all employees from sex-based wage discrimination going forward.”
Tracy Imm, a spokeswoman for the Maryland Insurance Administration, declined to comment on the settlement.
The lawsuit was filed in U.S. District Court in Baltimore.