Implementation of the Pay Equity Act

January 31, 2022 - Defence Stories

The Treasury Board of Canada Secretariat (TBS) is moving forward to implement the Pay Equity Act, which came into force on August 31, 2021, and which applies to all federally regulated workplaces with ten or more employees, including the federal public service.

As part of this work, TBS will soon be developing a pay equity plan that identifies any gaps between compensation of jobs held mostly by women and those held mostly by men that involve work of equal value. This plan will cover employees in the core public administration of the federal public service.

Once these plans are in place, pay gaps will begin to be systematically closed by adjusting the compensation of employees in predominantly female jobs determined not to be receiving equal pay for work of equal value.

Timing

The Pay Equity Act has a clear process for all employers to follow, including timelines to implement the Act. Employers are expected to finalize pay equity plans within three years after the coming into force of the Act and to close pay gaps after the final pay equity plans are posted. Pay equity plans will then be updated every five years to close any new pay gaps that arise.

Public notices for employees

The First notice to employees of the core public administration regarding the Treasury Board obligations under the Pay Equity Act provides more information for you on the implementation of pay equity and the role of employee representatives on pay equity committees. You will continue to be engaged as the government implements this important legislation.

For the latest information on the pay equity process, please visit the Pay Equity section on Canada.ca regularly or contact our human resources team. For more details on pay equity in Canada, please visit the Canadian Human Rights Commission website.