"Contrary to the claims of the bill's proponents, this bill contains numerous provisions that would unfairly and unnecessarily expand employer liability in a variety of employment law contexts, creating a long-term litigation time bomb while compromising the prompt settlement of discrimination claims," NRF Senior Vice President for Government Relations Steve Pfister said. "This measure abandons the balanced settlement process set forth in current law and instead creates a lawsuit bonanza for trial lawyers."

Pfister's comments came in a letter to members of the House, which is scheduled to vote today on H.R. 2831, the Lilly Ledbetter Fair Pay Act. Pfister said action on the bill would be counted as a key vote in NRF's annual ranking of lawmakers on issues important to the retail industry.

Sponsored by Education and Labor Committee Chairman George Miller, D-Calif., the bill was introduced in response to a May ruling by the U.S. Supreme Court that upheld the federal Civil Rights Act's statute of limitations on lawsuits arising from alleged acts of employment discrimination. Under the law, a claim must be filed within either 120 days or 300 days of the alleged incident, depending on interaction with state laws. The bill is named for a Goodyear Tire and Rubber Company employee who filed suit years after she was allegedly sexually discriminated against, claiming each subsequent paycheck represented a new act of discrimination because she was being paid less than if the initial action had not occurred.

The court ruled against Ledbetter, but the legislation would establish a "paycheck rule" allowing each paycheck to be considered a discriminatory act if the check is less than it would have been if not for an alleged discriminatory pay decision. The broadly written bill would go beyond the Ledbetter case, however, applying to discrimination over religion, race, color or national origin. It would also amend the Age Discrimination in Employment Act, the Americans with Disabilities Act and the Rehabilitation Act, and would also apply to pension payments and unintentional discrimination.

"Supporters claim that this bill would simply overturn the court's ruling," NRF Vice President for Government and Political Affairs Rob Green said. "Unfortunately, it is radically broader and would apply to any alleged type of employment practice that has an effect on 'compensation' including vacation benefits, health care costs, pensions, life insurance and so forth. This expansive legislation would also create a new class of plaintiffs including family members of an employee who would be allowed to file claims far into the future."

NRF is also concerned that the measure is being rushed through Congress with little time for debate. The bill was introduced on June 22 and approved by Miller's committee only five days later. The only hearing on the issue was held before the bill was even introduced.

The National Retail Federation is the world's largest retail trade association, with membership that comprises all retail formats and channels of distribution including department, specialty, discount, catalog, Internet, independent stores, chain restaurants, drug stores and grocery stores as well as the industry's key trading partners of retail goods and services. NRF represents an industry with more than 1.6 million U.S. retail establishments, more than 24 million employees - about one in five American workers - and 2006 sales of $4.7 trillion. As the industry umbrella group, NRF also represents more than 100 state, national and international retail associations. www.nrf.com