Effective Redress of Pay Inequities

Canadian experience with pay equity began in 1976 to redress the pay inequities due to gender-based occupational segregation and the underpayment of women's work. Over time, a greater understanding of systemic discrimination has resulted in changes in thinking and approaches to best redress the kind of gender-based wage discrimination built into compensation systems. The legislative history of pay equity in Canada is reviewed. Then the various components of pay equity are discussed in terms of the lessons learned to provide the most effective remedy. The components discussed are: proactive compared to complaint- based, role of unions, identification of the employer, definition of female and male jobs, gender-neutral job-evaluation system, exceptions allowing pay differences, methodology to determine fair wages, and compliance.