Tiburcio Vasquez Health Center, a nonprofit health care provider operating in southern Alameda County, will pay $195,000 and take steps to address pay equity after an EEOC investigation found it paid female employees less than a male colleague performing substantially equal work.
The U.S. Equal Employment Opportunity Commission announced the resolution following a charge filed by a female physician assistant in July 2023. She alleged that despite having more relevant experience, she was consistently paid less than a male nurse practitioner who had no prior experience in the role.
The EEOC’s investigation found reasonable cause to believe that three female employees were paid lower wages than the male employee between April 2022 and August 2023, in violation of federal laws prohibiting sex-based wage discrimination.
Violation of Equal Pay Act and Title VII
The agency concluded that the health center’s pay practices violated both the Equal Pay Act of 1963 and Title VII of the Civil Rights Act of 1964. The Equal Pay Act requires that men and women be paid equally for performing jobs that require substantially equal skill, effort, and responsibility, under similar working conditions. Title VII prohibits wage discrimination based on sex.
Under a two-year conciliation agreement, Tiburcio Vasquez Health Center will provide financial relief to the affected employees and implement a range of measures to prevent future violations.
Policy changes and pay equity review required
As part of the settlement, the organization agreed to revise its non-discrimination policies and procedures, conduct a pay equity study, and establish objective criteria for determining employee compensation. It must also provide anti-discrimination training to all staff and post notices informing employees of their rights under federal employment laws.
“We commend Tiburcio Vasquez Health Center for their commitment to ensuring compliance with the federal laws against sex-based wage discrimination,” said Margaret Ly, director of the EEOC’s San Jose Local Office. “This is a good reminder for all employers to set objective criteria when making compensation decisions and to apply those criteria consistently.”
The EEOC emphasized that relying on prior salary—a common but controversial practice—can perpetuate existing inequities and may not be legally defensible. Instead, employers are encouraged to evaluate candidates based on their qualifications and the demands of the job.
Employee speaks out about pay inequity
The physician assistant who filed the charge said she brought the issue forward not just for herself, but to challenge a broader pattern.
“It was important to question why I and other women were being compensated less than our male counterpart for performing comparable work,” she said in a statement. “I am grateful to the EEOC for upholding our right to equal pay. I hope this case encourages others who find themselves in similar situations to advocate for their rights.”
