State law requires all public jurisdictions such as cities, counties, and school districts to eliminate any sex-based wage inequities in compensation. 

Compensation Division staff assist local government employers in implementing this law.  In 1992, the division began analyzing reports from local governments to ensure that compliance is achieved and maintained. Reports must be submitted electronically if possible via email to the department.

Pay Equity is a method of eliminating discrimination against women who are paid less than men for jobs requiring comparable levels of expertise.  This goes beyond the familiar idea of "equal pay for equal work" where men and women with the same jobs must be paid equally. A policy to establish pay equity usually means:  1) that all jobs will be evaluated and given points according to the level of knowledge and responsibility required to do the job; and 2) that salary adjustments will be made if it is discovered that women are consistently paid less then men for jobs with similar points. The following example from a 1982 evaluation of state government jobs shows a typical sex-based wage disparity.

It is important to remember that pay equity laws in Minnesota address only sex-based wage disparities and not all types of wage disparities.  Pay equity does not replace collective bargaining and does not address all compensation issues.