• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
MPW

What critics of California’s Fair Pay Act are missing

Kristen Bellstrom
By
Kristen Bellstrom
Kristen Bellstrom
Down Arrow Button Icon
Kristen Bellstrom
By
Kristen Bellstrom
Kristen Bellstrom
Down Arrow Button Icon
October 9, 2015, 4:02 PM ET
Money Money Money
Circa 1940, A stack of coins and a small pile of bank notes. (Photo by FPG/Getty Images)Photograph by FPG/Getty Images

In the debate over the gender pay gap—how large it really is, how to close it—there’s one name that comes up again and again: Harvard economist Claudia Goldin.

True to form, Goldin and her research has been invoked repeatedly in recent weeks in the coverage of the California Fair Pay Act, which was signed into law on Tuesday. The law, which is being called the nation’s toughest equal pay legislation, requires employers to pay employees equally for “substantially similar work,” even if their titles are different or they work at different sites. It also protects workers from employer retribution for sharing their salary information or asking co-workers how much they make.

Goldin’s study of the wage gap has focused largely on how the gender disparity is influenced by the fact that many professions pay more to employees who are able to work long and particular hours. Interestingly, her work has been used to support the arguments of people on both sides of the ideological spectrum: On Thursday, the New Yorker quoted her at length in a story called “How California’s Fair Pay Act Will Help Women,” while last week, she was cited in a Wall Street Journal op-ed by Causeway Capital Management CEO Sarah Ketterer. Its headline? “The Wage Gap Myth That Won’t Die.”

So, what does Goldin think about being the go-to expert for both sides of the debate? “I guess I should feel honored,” she told Fortune—rather archly—when reached in Cambridge last week.

When asked for her thoughts on the Fair Pay Act (which had not yet been signed into law at the time of our conversation), Goldin noted that such a law isn’t “the end of the story.” While it may “do some things right,” she says, it isn’t going to address fundamental issues such as how workers are rewarded for long hours, the inflexibility of our work culture, the fact that women routinely end up in lower-paid profession—the list goes on.

She does, however, believe that the Act could change the lives of some individual women.

“Could [the Fair Pay Act] have an effect? It certainly could for those individuals who find it very hard to step up to the plate,” says Goldin. A law of this nature is “going to empower women, so that they know there is a law to support them.” There may be cases where women believe that they’re being underpaid, but haven’t been sure about how to rectify the situation, she says. In such circumstances, she says, having a law in place could give them the confidence to “step up and do something.”

Under the Fair Pay Act, says Goldin women will know that “when you walk into your supervisor’s office, your boss’ office, you have the state of California behind you.”

Subscribe to The Broadsheet, Fortune’s daily newsletter on the world’s most powerful women.

 

About the Author
Kristen Bellstrom
By Kristen Bellstrom
See full bioRight Arrow Button Icon

Latest in MPW

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in MPW

Fortune 500 Power Moves: Which executives gained and lost power this week
C-SuiteFortune 500 Power Moves
Fortune 500 Power Moves: Which executives gained and lost power this week
By Fortune EditorsMay 8, 2026
16 hours ago
naomi
Commentarymental health
Naomi Osaka: the things I didn’t do to succeed
By Naomi OsakaMay 8, 2026
21 hours ago
burke
ConferencesAthletic Gear
The CEO of Trek Bicycle reads 52 books a year, hates smartphones, and thinks Milton Friedman was wrong
By Nick LichtenbergMay 6, 2026
3 days ago
Aerie built a $2 billion brand by rejecting Victoria’s Secret’s old playbook. Now it wants to win the AI backlash
C-SuiteRetail
Aerie built a $2 billion brand by rejecting Victoria’s Secret’s old playbook. Now it wants to win the AI backlash
By Phil WahbaApril 30, 2026
9 days ago
Emma Grede, who helped found the $5 billion Skims empire, rejects ‘celebrity CEO’ label: ‘I’m a CEO who’s done so well you know my name’
SuccessEntrepreneurship
Emma Grede, who helped found the $5 billion Skims empire, rejects ‘celebrity CEO’ label: ‘I’m a CEO who’s done so well you know my name’
By Cheyann HarrisApril 29, 2026
10 days ago
She left Citigroup after 18 years as one of its top women. Why Ida Liu chose HSBC as her next move
NewslettersMPW Daily
She left Citigroup after 18 years as one of its top women. Why Ida Liu chose HSBC as her next move
By Nicholas GordonApril 27, 2026
12 days ago

Most Popular

California farmers must destroy 420,000 peach trees after Del Monte closes its canneries and cancels more than $550 million in long-term contracts
North America
California farmers must destroy 420,000 peach trees after Del Monte closes its canneries and cancels more than $550 million in long-term contracts
By Sasha RogelbergMay 7, 2026
1 day ago
'Blue dot fever' plagues musicians like Post Malone, Meghan Trainor, and Zayn as a growing list of artists cancel tours due to lagging ticket sales
Arts & Entertainment
'Blue dot fever' plagues musicians like Post Malone, Meghan Trainor, and Zayn as a growing list of artists cancel tours due to lagging ticket sales
By Dave Lozo and Morning BrewMay 7, 2026
2 days ago
A Michigan farm town voted down plans for a giant OpenAI-Oracle data center. Weeks later, construction began
Magazine
A Michigan farm town voted down plans for a giant OpenAI-Oracle data center. Weeks later, construction began
By Sharon GoldmanMay 6, 2026
3 days ago
U.S. Treasury will have to borrow $2 trillion this year just to continue functioning—more than $166 billion every month
Economy
U.S. Treasury will have to borrow $2 trillion this year just to continue functioning—more than $166 billion every month
By Eleanor PringleMay 7, 2026
2 days ago
Current price of oil as of May 8, 2026
Personal Finance
Current price of oil as of May 8, 2026
By Joseph HostetlerMay 8, 2026
19 hours ago
Airbnb CEO Brian Chesky warns two types of people won’t survive the AI era: ‘pure people managers’ and workers who resist change
Success
Airbnb CEO Brian Chesky warns two types of people won’t survive the AI era: ‘pure people managers’ and workers who resist change
By Emma BurleighMay 7, 2026
2 days ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.