As an employer in Quebec, you must ensure compliance with your obligations under the Pay Equity Act.
Here are some questions to ask yourself in order to see more clearly on this subject.
What is Pay Equity in Quebec?
Pay equity is the right of people in typically female jobs to receive a salary equal to that of a person in typically male jobs of equivalent value in the same organization, even if the jobs are different.
The Pay Equity Act requires that an initial pay equity exercise be completed and then an evaluation of the maintenance of pay equity be carried out every five years.
Is my organization subject to the Pay Equity Act?
Your organization is subject to it if it is under provincial jurisdiction and has had an average of 10 or more employees during its reference period (generally a calendar year).
You will then have 4 years to complete your initial pay equity exercise. The exercise must be completed before December 31st of the 4th year following the year in which the employer reached the threshold of 10 or more employees
Please note that if you acquire a company which is subject to the Act, you inherit its pay equity obligations.
What does a pay equity exercise consist of?
Generally speaking, the analysis first consists of:
- Identifying job categories within your organization
- Determining the sexual predominance of the job categories
- Evaluainge and comparing the job categories
- Estimating salary gaps between predominantly female and predominantly male job categories
- If necessary, correcting salary gaps
- Displaying results
When should you complete the evaluation of the Pay Equity maintenance?
The evaluation of the pay equity maintenance is an obligation which returns on a fixed date every five years. During these five years, changes to the compensation or working conditions of certain jobs, and the creation or abolition of jobs, may occur in the organization, which may have an impact on pay equity. You will therefore need to assess whether or not the events that have occurred since the previous assessment have created salary gaps.
You must keep all information used to assess pay equity for a period of 6 years after posting.
The CNESST asks me to complete a Declaration (DEMES), is this the same as my pay equity exercise?
No, completing the Employer Declaration on Pay Equity (DEMES) is an obligation separate from the initial exercise or the maintenance assessment. This is an online form that allows the CNESST to know the progress of your pay equity obligations. Employers who are subject to the Act must complete it.
Can I be supported in my pay equity work?
The CNESST provides you with information capsules available online through its website.
You can use the services of an external consultant to carry out pay equity work in your company.
At Gamma HR, we have extensive experience in the field of pay equity to help you determine your obligations and support you through the different stages.
Pierre-Yves Legault
Total Compensation Consultant
pylegault@gamma.hr
1-514-775-1140
