Remedy any disparity that cannot be justified based on a seniority or merit system, a system that measures earnings by quality or quality of production, or another bona-fide factor that is job related and necessary for the business such as education, training, experience, or the geographical location of the employee and cost of living in that area.
Beginning a pay equity analysis means having the right information to analyze. Generally, this means collecting information about employees, jobs, business/company practices, market data, and salaries, though the size of your business may impact what you collect and what makes sense to collect.
Analyze and take action on pay equity data.The chart below summarizes infrastructure and data that would be useful in conducting a pay equity analysis.
These may not always apply based on industry or employee population. There may be other data points that may be relevant that may not be listed here. While not explicitly required by law, this data may facilitate compliance with the law.
A. While the definitions of "small" and "large" employers vary depending on the context, the pay equity data are categorized as basic and aspirational to illustrate the desired data elements to establish equitable pay practices and to be able to conduct pay equity audits.