In 2018, Governor Jerry Brown of California signed a bill that made California the first state to require corporations and companies based inside the state, even if incorporated elsewhere, to hire a minimum number of women. The bill provides that, by the end of 2019, the corporations that are headquartered in California and are listed on the U.S. Stock Exchange have at least one female director. By 2021, corporate boards of 6 or more must have at least three female members.
The penalties for violating this law are a $100,000 fine for a first offense and a $300,000 fine for every offense afterwards. The bill has brought discussion of gender equality in corporate America to the forefront of the civil rights landscape and could have important implications for the future.
Featuring:
Anastasia P. Boden, Staff Attorney, Pacific Legal Foundation