Pay Equity: A Value-Added Opportunity
Intended to correct wage disparities in female-dominated jobs, the Pay Equity Act—passed in Ontario in 1987 and in Quebec in 1996—applies to all employers in private, public and semi-public sectors with an average of ten employees or more.
Over 150,000 organizations are subject to the Pay Equity Act in Quebec and Ontario. Ontario companies must conduct regular audits, and Quebec companies must update pay equity plans every five years.
THE ADVANTAGES: DIRECT, INDIRECT AND ONGOING
Pay equity isn’t just an added expense. It’s an opportunity to create added value for your business and avoid the unnecessary costs of non-compliance.
There are multiple advantages of evaluating your business’s jobs:
- A stronger corporate culture
- Proof that you value employee well-being and improving the work environment
- Opportunities to implement new and improved best practices
- Promoting an equitable compensation system
- Increased employee loyalty
- Stronger interpersonal relationships
- Improved staff motivation and productivity
- Facilitated decision-making by management
- Becoming a more competitive organization overall
BEWARE OF INFRACTIONS
In Quebec, the labour standards, pay equity and occupational health and safety board (CNESST) is responsible for ensuring compliance with the Pay Equity Act. Consequences of non-compliance include:
- Possible legal prosecution
- Fines ranging from $1,000 to $45,000 (depending on company size, damage caused and the rewards derived from the infraction)
- Appearing on the list of all employers convicted of pay equity infractions that the CNESST publishes on its website until they comply
- Displaying the decision for 30 days on company premises if you are an employer affected by a decision under the audit program
In Ontario, the Pay Equity Commission, comprised of the Pay Equity Office and the Pay Equity Tribunal, is responsible for ensuring compliance with the Act.
MAXIMIZE THE BENEFITS AND MINIMIZE THE PITFALLS
Solertia can help you comply with pay equity and make sure it’s as beneficial and painless as possible. We have:
- Supported organizations of all sizes for over 15 years
- Conducted over 1,000 pay equity exercises
- Represented dozens of organizations through audits and reconciliations
We know the complexity of the task varies greatly from one organization to the next. So we offer:
- A holistic approach and support that takes the unique situation of every organization into account
- Comprehensive services: the first pay equity exercise, a pay equity audit, and completion of the employer report on pay equity (DEMES)
- Effective practices and tools (including proprietary software approved by the CNESST’s auditors)
- A clear and precise work methodology