There are three methods of comparison in the Act for achieving pay equity:
- Job-to-job comparison matches female job classes directly to a male job of equal or comparable value in the establishment.
- Proportional value comparison indirectly compares the relationship between the male and female jobs in an establishment.
- Proxy method of comparison is available only to broader public sector organizations that are unable to achieve pay equity using the above methods. Unlike the other two methods, the proxy method allows comparisons to be made to job classes outside the organization in other broader sector organizations.
Employers who are not subject to Part II requirements may use either the job-to-job or the proportional value comparison method to achieve pay equity. Part II employers are required to first apply job-to-job and then, if there are some female job classes that have not achieved pay equity, this employer must apply the proportional value comparison method. Only public sector employers with employees on July 1, 1993, that are listed in the Appendix in the Schedule to the Act and are granted an Order by the Commission are eligible to use the proxy method. (See Proxy Comparison Method).
The requirements for the job-to-job comparisons are set out in [6] of the Act. The proportional value method is described in Part III.1 [21.1 – 21.10]. The proxy method is outlined in Part III.2 [21.11 – 21.23]. Both the proportional value and proxy methods were introduced in amendments to the Act in 1993 (Bill 102, Pay Equity Amendment Act).
The Office offers resources explaining the mechanics of each of the comparison methods.