Pay Equity Commission :: The Space Toy Co. Case Study :: Maintaining Pay Equity

Since pay equity came into effect at STC, there have not been any of the changes listed above. The STC Pay Equity Committee called the Commission about "Sale of Business". The Commission sent information that helped STC identify key areas to monitor.

The 90-7-30 day appeal period applies every time a non-union pay equity plan is prepared and posted.

A gender-neutral job comparison system may be chosen. If there are few changes after a sale, the existing job evaluation system and the pay equity plans may still be appropriate. If changes are substantial, the system may no longer fit the nature of the workplace and a new system would have to be put in place, the jobs re-evaluated and a new pay equity plan prepared and posted.

The purchaser assumes responsibility for any pay equity requirements in the predecessor organization unless there's a merger agreement.

There can't be an interruption in pay equity for employees, even in the event of a sale of business. For instance, if STC were to merge with another company, existing pay equity plan(s) would continue to be implemented until checked to see if they're still appropriate for the new organization. If not appropriate, a new pay equity process would begin and new plans drawn up.

Any necessary adjustments to job rates are always retroactive to the date the sale occurred.

Sale of Business

What is a "Sale of a Business" ?

STC is paying attention to these areas regarding "Sale of Business":

After a Sale of Business