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Under the Act, medium or large employers (100 employees or more) and small employers (10–99 employees) with any unionized employees must establish a pay equity committee.
An employer with 10 to 99 non-unionized employees is not required to form a pay equity committee but may decide to do so on their own initiative or at the request of an employee. Should this be the case, they must notify the Pay Equity Commissioner that they are doing so.
Pay equity committee members are selected by the employer, the bargaining agent(s) and non-unionized employees. The committee must be composed of representatives from the employer and the employees covered by the pay equity plan.
A pay equity committee must have at least three members and meet the following requirements:
It should be noted that an external resource can also be part of the pay equity committee (e.g. the employer or the bargaining agent may appoint a specialized human resources consultant to represent them). If the employer has decided to form a pay equity committee voluntarily or has done so as required by the law, it is suggested that the committee members participate in the decision of whether to use a consultant.
Employers must give employees access to both workplace space, equipment and time to select their pay equity committee member(s).
The composition of the pay equity committee should be diverse both in terms of knowledge and representation.
Employers must make all reasonable efforts to establish a pay equity committee. The expression “all reasonable efforts” is defined in more detail in our guidance on Pay Equity Committees.
If, despite making all reasonable efforts, employers can file an application with the Pay Equity Commissioner to obtain an authorization to follow different requirements if they:
The Act requires employers to notify the Pay Equity Commissioner when they wish to voluntarily establish a pay equity committee. In this case, please file a request for information through the Pay Equity Portal.
Employers that have between 10 and 99 employees, with no unionized employees, are not required to develop their pay equity plan with a pay equity committee.
However, it is often a good practice to do so and therefore, small non-unionized employers may choose to establish a pay equity committee.
Once the Pay Equity Commissioner has been informed of the voluntary establishment of a pay equity committee through the Pay Equity Portal, a note will be made in the employer’s file.
The following groups of employers are required to collectively establish a pay equity committee:
An employer with 10 to 99 non-unionized employees is not required to establish a pay equity committee but may decide to do so.
When it comes to setting up the pay equity committee, the same provisions apply to all employers, whether they form a group or not. For example, the committee must have at least one employer representative from the group of employers. If all the employers in the group want to select a representative, it is possible to do so, as long as two thirds of the total number of members represent the employees. Please consult our guidance document to learn more about pay equity committees.
Learn more about making an authorization request to the Pay Equity Commissioner to become recognized as a group of employers.
If an employer is authorized to establish more than one pay equity plan, they must establish a separate pay equity committee for each pay equity plan. Pay equity committee members should represent employees covered by each plan.
Pay equity committee members should work collaboratively to develop a pay equity plan.
Employers must give employees access to both workplace space, equipment and time to attend and prepare for meetings or participate in training.
All workplace parties (employers, bargaining agents, employees) have a responsibility to provide members of the pay equity committee with any information necessary for the development of the pay equity plan. Pay equity members have an obligation to keep this information confidential.
Decisions by members can be made through consensus or through a voting process. A vote can only be held if the following members are present:
The members who represent employees have one vote and the members who represent the employer have one vote. This means that all of the employee representatives and that all of the employer representatives should aim to collectively agree on their vote before it is cast. If the employee group cannot collectively agree on their vote, they lose their right to vote. In this case, the vote of the employer group prevails.
| Steps | Role of pay equity committee | Role of employer |
|---|---|---|
| Notify employees of their employer’s pay equity obligations | No | Yes |
| Establish a pay equity committee | No | Yes |
| Identify job classes in the workplace (i.e. positions that share certain similarities) | Yes | No |
| Determine which job classes are commonly held by women and which ones are commonly held by men | Yes | No |
| Value the work done in each of these job classes | Yes | No |
| Calculate total compensation in dollars per hour for each predominantly male and female job class | Yes | No |
| Compare compensation to determine whether there are differences in compensation between job classes of equal value | Yes | No |
| Establish the contents of the pay equity plan | Yes | No |
| Post a draft of the pay equity plan and a notice to employees of their right to provide comments on the draft plan | No | Yes |
| Provide employees with 60 days to provide written comments on the plan | No | Yes |
| Receive and consider any comments provided by employees when creating the final version of the pay equity plan | Yes | No |
| Provide any increases in compensation | No | Yes |
| File an annual statement with the Pay Equity Commissioner | No | Yes |
A pay equity committee can vote when it can’t reach consensus. The members who represent employees have one vote and the members who represent the employer have one vote. This means that all of the employee representatives and that all of the employer representatives should collectively agree on their respective vote beforehand. If the employee group cannot collectively agree on their vote, the vote of the employer group prevails.
If the vote is tied, the employer, bargaining agent or a member who represents non-unionized employees may notify the Pay Equity Commissioner that there is a matter in dispute. The Pay Equity Commissioner must then attempt to assist the parties in reaching consensus. Should they come to a voluntary settlement, they must notify the Commissioner.