Feds open consultations on pay equity

‘The feedback we receive will be invaluable as we bring this important piece of legislation into force’

Feds open consultations on pay equity
Consultations on the revised Pay Equity Act regulations will run until Jan. 13, 2021.

The federal government is looking for feedback on its recently released Pay Equity Regulations, which will support the implementation of the revised Pay Equity Act.

Passed at the end of 2018, the act will apply to the federally regulated sector and replace the existing complaint-based system. It will also expand employer obligations, placing the onus of pay equity analysis on employers, says Natalka Haras, legal counsel at ADP Canada in Montreal.

The consultations will run until Jan. 31, 2121, and the regulations will be finalized and published in the Canada Gazette, Part II.

Ottawa estimates the new rules will come into force later in 2021, and employers will have three years to develop and implement their proactive pay equity plans.

“Everyone deserves an equal opportunity to succeed and to receive equal pay for work of equal value. Canadian women have experienced a gender wage gap for far too long. This is why our government is committed to addressing and breaking down the barriers to gender equality in employment,” says Filomena Tassi, minister of labour. “I strongly encourage all interested parties to review and provide input on the proposed regulations for the Pay Equity Act. The feedback we receive will be invaluable as we bring this important piece of legislation into force.”

Based on the most recent data, in Canada, for every dollar earned by a man, a woman earned 89 cents as measured in hourly wages for full-time workers, says the government.

The hourly wage gap between men and women in 2019 was still 19 per cent, although it was down from 27 per cent in 2000, according to a C.D. Howe Institute report released in January. On the other hand, ADP claimed in March this year that the gap is 24 per cent.

And if 2019 is the starting point, it will take 99.5 years to close the gender parity gap, according to the World Economic Forum.

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