The Government of Canada has announced that the Pay Equity
Act will come into effect on August 31, 2021. Employers in
federally regulated industries will have three years to identify
and correct pay disparities within their workplaces.
This pay equity legislation seeks to eliminate the wage gap
between men and women in the workplace, aiming for equal pay for
work of equal value. Achieving pay equity involves providing the
same pay for jobs that are traditionally held by women and jobs
that are traditionally held by men.
The Pay Equity Act
The legislation introduces a new proactive pay equity regime for
federally regulated workplaces with ten or more employees.
Employers will need to examine their compensation practices to
ensure that they are providing equal pay to men and women doing
work of equal value.