Politics & Finances

California Officially Bans Gender-Based Pricing on Products

California Officially Bans Gender-Based Pricing on Products

As CVS Pharmacy trends for lowering prices to combat the 'pink tax' in 12 states, California lawmakers have officially banned gender-based pricing moving forward.

'Pink tax' is a gender inequality term that specifically refers to a markup on goods and services marketed to women, when men pay less for similar products and services. Razors, shampoo, conditioner, and other personal hygiene products are often subject to the 'pink tax.'

Democratic Governor Gavin Newsom signed AB 1287 into law on September 27. The bill was originally introduced and authored by Assemblymember Rebecca Bauer-Kahan (D).

A report from Los Angeles-based news network KTLA 5 shared details of the new law, which bans price increases on "substantially similar" products for women and men:

The bill defines “substantially similar” as two goods with the following characteristics:

  • No substantial differences in the materials used in production.
  • The intended use is similar.
  • The functional design and features are similar.
  • The brand is the same or both brands are owned by the same individual or entity.

Holly Martinez, Executive Director of the California Commission on the Status of Women and Girls spoke out about the Golden State's new law, commending legislators:

“Simply being a woman shouldn’t cost money – but it does. Women pay roughly $1,300 a year that men don’t for the exact same products; with women as a whole making an average of 79 cents to every dollar a man makes, and women of color making even less, this isn’t a tax we can afford to ignore. Women make up as much as 85% of consumer purchases in the United States and the Pink Tax represents $1,300 that can’t go into a women’s retirement fund, toward home ownership, toward her education, or to feed her family.”

What do you think about California banning the 'pink tax' as CVS also takes action? Get help with your personal taxes by matching with a local tax expert today.

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Rebekah Barton

Rebekah Barton

Rebekah's search engine optimization career began completely by accident as a college student. Over the course of her career so far, she has "grown up" with the SEO industry, from writing content while juggling classes to managing her own teams of writers and overseeing SEO strategy in subsequent roles. She is excited to bring her passion for high-quality content to CountingWorks, Inc.

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