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Thursday, March 27, 2008

Get the Fast Facts on Pay Equity

There has been a sudden upsurge in Pay Equity inquiries. Some organizations are looking to enhance their existing plan or determine whether or not they need a plan at all. Many are unclear on what the requirements are…or really what Pay Equity is all about. So what are the fast facts on Pay Equity?

What is Pay Equity?

Pay Equity is the gender comparison of equal pay for work of equal value. It is a legislated requirement in Ontario (in fact, the only provinces that do not have some form of Pay Equity are BC and Alberta).

I thought it went away? Do we still really have to do this?

Pay Equity came into effect in 1988 and is still in effect today. Organizations need to ensure they are Pay Equity compliant by having a Pay Equity Plan. They need to either maintain their existing plan or establish a new plan if they have never done this.

Who has to comply with Pay Equity?

In Ontario, all public sector employers and private sector employers with 10 or more employees have to comply with Pay Equity?

We have a union and our salaries are aligned with our collective agreement. Do we still need Pay Equity?

Yes, even with a union you need a Pay Equity Plan?

What do we need to do to be Pay Equity compliant?

In a nutshell, you need to go through the process of evaluating jobs based on 4 key factors: skill, effort, responsibility and working conditions. This is how you determine the “worth” of the job and whether or not you are paying jobs of equal worth, equal pay.

Help please!

For more information, read our article, Pay Equity—Still Here and Here to Stay. You can also contact the Pay Equity Commission in Ontario or, we can assess your current Pay Equity situation and help you to become Pay Equity compliant. Please contact, Lynn Brown (x111) or Mary Jane (MJ) Tomashewski (X117) for more information.