President Barack Obama signed legislation late last monthreversing a Supreme Court decision that severely limited workers'ability to sue their employers on the basis of wagediscrimination.

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The signing of the Lilly Ledbetter Fair Pay Act came just twodays after final congressional action.

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The president was accompanied when he entered the White HouseEast Room by Lilly Ledbetter, the Alabama woman who was the namedplaintiff in a 2007 Supreme Court decision being reversed by thenew law.

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Christine Bonavita, a lawyer in the Philadelphia and CherryHill, N.J., offices of Blank Rome LLP, said the important part ofthis legislation is that the time period for potentialdiscrimination claims restarts each time the wage or benefit ispaid, even if the decision was first made prior to the applicablefiling period.

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"This means that under the legislation an aggrieved employee hasmultiple opportunities to file a claim because each time a wage orbenefit is paid, the liability period restarts," Ms. Bonavitasaid.

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Equally important, the law takes effect as if it was enacted onMay 28, 2007 and applies to all claims of discrimination incompensation that are pending on or after that date, she said.

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The Supreme Court decision involving Ms. Ledbetter held that shewas not entitled to sue for wage discrimination because she had notfiled her claim within 180 days of "the alleged unlawful employmentpractice."

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Ms. Ledbetter had sued contending that male workers who did thesame job as she did at the factory where she worked were paidmore.

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The new law, the Equal Pay Act, prohibits sex discrimination inthe form of unequal pay for equal work. Under current law,employers can avoid liability if they can prove that the allegeddiscrimination comparison was a result of any factor other thansex. Under this new Act, employers can only rely on thisaffirmative defense where the factors other than sex arejob-related or serve a legitimate business interest.

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Ms. Bonavita said that as a result of the new law, employersshould review their compensation plans, benefit programs, payrollpractices and wage information, to ensure that the application ofthose plans do not have a disparate impact upon individuals in aprotected class.

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"This could include a statistical analysis to ensure that anycompensation plans don't demonstrate significant disparities amongemployees in protected classes," she said.

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This review should include salary and compensation plans so thatemployees who perform the same jobs and who have the same skillsand qualifications are paid the same rates. "Any disparities shouldbe based on legitimate non-discriminatory justifications such asseniority," she said.

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One big issue is training managers and supervisors to ensurethat no employee who either questions their compensation, who filesa charge alleging discrimination in compensation, or who cooperatesin an investigation regarding similar allegations is not retaliatedagainst," Ms. Bonavita said.

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"Employers definitely need to retain their compensation records,as well as their bonus plans, and employment performance reviews,"she advised.

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"They should make sure that performance evaluations areaccurately completed so that they support any subsequent employmentdecisions," she added.

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Ms. Bonavita said the new law makes it clear it is applicable tomore than just compensation decisions. The law, she said, appliesto promotion, training, discipline and other employmentdecisions.

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At the bill signing, President Obama said the measure is "by nomeans a women's issue. It is a family issue."

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"Signing this bill...is to send a clear message that making oureconomy work means making sure it works for everybody," PresidentObama said.

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The joint arrival of the president and Ms. Ledbetter drew cheersfrom an audience that included many prominent women in politics,including Secretary of State Hillary Clinton and House SpeakerNancy Pelosi.

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"It is appropriate this is the first bill we do together," Pres.Obama told the speaker.

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