INDEPENDENT CITY AUDITOR. REPORTING DIRECTLY TO THE RESIDENTS.

New Report Released Performance Audit of Citywide Pay Equity

Dear Friend,

 

Today, my Office issued a Performance Audit of Citywide Pay Equity.

 

This audit aimed to identify if there were significant differences in pay among City employees by race and gender and the potential drivers of these differences.

 

The audit found that differences in pay among City employees across different demographic groups were largely due to the compensation terms of their job classifications. City employees' job classifications are likely influenced by “occupational sorting,” a term that describes how people may work within specific fields and industries based on widespread norms about work and society, often stemming from historical and societal discrimination.

 

When adjusting for job classifications, the audit found no differences in base pay across different demographic groups. Within select non-sworn job classifications, men and women were similarly represented among high and low earners. Within the Police and Fire departments, women were significantly underrepresented in sworn positions and earned less overtime pay.

 

As such, we made seven recommendations to the City Administration to continue current approaches and adopt additional approaches to improving employee representation within job classifications and pay equity across the City through small improvements to hiring, training, job postings, data access, and coordination with the Department of Race and Equity (DRE).

 

We appreciate the DRE's insight during the audit process. Thanks to the DRE, the principles of fairness and justice are now integrated into nearly every aspect of the City's operations. We hope this report inspires the City to continue this critical work, ensuring equitable opportunities for all staff members, regardless of race or gender. We recognize that this is a long-term commitment.


Please feel free to contact my Office if you have any questions or want us to brief you on this audit.

Citywide Pay Equity Audit Report

Sincerely,

MICHAEL C. HOUSTON, MPP, CIA

CITY AUDITOR

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