On May 10, the Supreme Court of Canada (the "SCC")
upheld the decisions of the Quebec Court of Appeal and the Quebec
Superior Court declaring ss. 76.3, 76.5 and s. 103.1 para. 2 of the
Pay Equity Act (the "Act")
invalid on the ground that these provisions are discriminatory and
thus contrary to s. 15(1) of the Canadian Charter of Rights and
Freedoms (the "Charter").1 According to
the SCC, rather than ending systemic wage discrimination the
impugned provisions "place barriers along the path to
equal pay for women".
How did the SCC arrive at this conclusion and what will be the
impact of this decision on employers with a business in Quebec?
Background
In 1996, the Quebec government adopted the Pay Equity
Act to address systemic wage discrimination against women. The Act
imposed ongoing obligations on employers to measure and correct pay
inequities in predominantly female jobs.