FAQ

1. What does pay equity maintenance mean in practical terms?

Maintenance means that STC must monitor changes in the Toronto establishment for their pay equity implications. Wage gaps, identified and closed under the Job-to-Job and PV process, cannot be re-opened or new ones created after the achievement of pay equity.

2. Can STC still phase-in adjustments today?

No.  There is no phasing-in of adjustments after pay equity is achieved. STC achieved pay equity in '92 (Job-to-Job) and '93 (PV). Wage gaps that re-open after these achievement dates must be closed as they occur. Adjustments retroactive to the date these changes happened must be paid to the job class in question.

3. What are "Changed Circumstances"?

Changed circumstances are situations that impact on pay equity and deemed approved plans: for example, changes to job values, job rates, male comparators, organizational structure, etc. Any of these changes can affect pay equity and existing plans.

4. What is a "Sale of a Business"?

A sale of a business is when an employer, bound by a pay equity plan, sells all or a part of a business. For example, when two companies merge, existing pay equity plans for the new company have to be reviewed for their continued appropriateness. Often, new plans have to be prepared to reflect substantial internal changes to jobs, values, comparators, job rates and pay equity resulting from the merger.

5. Do pay equity plan(s) ever get amended or re-posted, and are there circumstances where new plans are required?

STC views the pay equity plan as a legal, binding contract. Its terms must accurately show all female and male job classes in the workplace, as well as explain/detail how pay equity was done. If the plan that was posted many years ago doesn't reflect the current reality in the workplace, it may need amending and re-posting (in the event of Changed Circumstances) or a new plan drawn up and posted (in the event of a Sale of Business). On-going and regular maintenance of compensation practices usually affects pay equity plans.

6. When plans are amended or new ones drawn up, does the appeal process apply?

Yes.  For non-union plans, the 90-7-30 day appeal period begins immediately upon posting. Union pay equity plans are deemed approved when they are signed by the employer and the bargaining agent. Increasingly, pay equity maintenance programs are put in place in union and non-union situations to lessen the risk of contravening the Act.