Understanding Pay Equity Act in Ontario
The Pay Equity Act in Ontario aims to rectify historic and systemic gender discrimination in compensation by narrowing the wage gap between men and women due to undervaluation of work traditionally done by women. Pay equity involves comparing jobs typically done by women to different jobs done by men for equal pay based on equal or comparable value. It is not about comparing rates of pay for the same work or conducting performance appraisals. The focus is on addressing compensation inequities for female job classes.
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Purpose of the Pay Equity Act: Redress historic & systemic gender discrimination in compensation for work performed in Female Job Classes in Ontario (narrow the portion of the wage gap that exists between men and women s wages due to the undervaluing of work traditionally performed by women)
What Pay Equity IS comparison of jobs usually performed by women to DIFFERENT jobs performed by men equal pay for work of equal or comparable VALUE
Pay Equity is NOT Pay Equity is NOT Definition For example: Employment Standards Act, 2000 (Sec 42.1) Comparing rates of pay between male & females performing the same work Comparing rates of pay between a female custodian and a male custodian Equal Pay for Equal Work *This is not pay equity Evaluation of individual employees on their ability to perform the job (Performance Appraisal) Performance Appraisals Comparing an employee s individual performance or qualifications in relation to the job duties outlined in a job description *This is not pay equity
Pay Equity is NOT Pay Equity is NOT Definition For example: Comparing rates of pay for job classes across different Employers to align with market practices, in an effort to resolve recruitment and retention issues *This is not pay equity Comparing rates of pay for a Lab Assistant title in the OPS vs. a Lab Assistant at Public Health Ontario Market Value Assessments Analysis of the salary grid to ensure consistent pay practices within organization Comparing rates of pay between different job classes held by the same gender *This is not pay equity Administrative Assistant (female) vs. Receptionist (also female) or Boiler Inspector (male) vs. Bridge Operator (also male) Internal Equity (same gender)
Pay Equity is NOT Pay Equity is NOT Definition For example: A male or gender-neutral position may be evaluated at a 700 total point range but is currently paid at the same range as those who were evaluated between 500-600 points, suggesting that the value of the position is not in alignment with the pay structure/pattern of the organization Internal Equity (non-female job classes) Compensation inequities for Male or Gender Neutral job classes *This is not pay equity
Pay Equity is NOT Pay Equity is NOT Definition For example: Comparing the duties and responsibilities of a job class with that of a different title or level. An incumbent in an Office Admin Level 6 position wishing to have the job re-assessed to determine if the duties and responsibilities align more with a Level 7 designation. Reclassification *This is not pay equity
