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Ontario’s Pay Equity Act

with Selected Case References, 2022

Disclaimer: This Guide gives an overview of the minimum requirements of the Pay Equity Act as interpreted by the Pay Equity Office. The interpretations are drawn from our own experiences and by applying the key rulings of the Pay Equity Hearings Tribunal and the courts and is current to the date ​of publication.

Investigation by review officer

In this section

16. (1) If the Commission,

(a) is advised by an employer or a bargaining agent that no agreement has been reached on a pay equity plan or an amendment to a pay equity plan; or
(b) receives a notice of objection to a pay equity plan for employees who are not represented by a bargaining agent or a notice of objection to an amendment of such a plan,

a review officer shall investigate the matter and endeavour to effect a settlement. R.S.O. 1990, c. P.7, s. 16 (1); 1993, c. 4, s. 11.

Orders by review officer

(2) If the review officer is unable to effect a settlement as provided for in subsection (1), he or she shall by order decide all outstanding matters.

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Civic Association of Non-Union Employees at the City of Windsor and Laurie Parent v Corporation of the City of Windsor, 2011 CanLII 35855 (ON PEHT) 2011- 06-16 — A Review Officer issued an order pursuant to section 16(2) of the Pay Equity Act (the “Act”) directing the Employer to post the 2005 Plan on November 8, 2010. Objections with respect to such a plan were permitted by way of section 16(4)3. Ms. Parent’s “Application for Review Services” is an objection to the 2005 Plan pursuant to section 16(4). Pursuant to section 17 of the Act, when the Commission receives a notice of objection under subsection 16(4) of the Act “the Hearings Tribunal shall hold a hearing, and, in its decision, shall settle the pay equity plan to which the objection relates.” Thus, all objections to the 2005 Plan, because it is a plan that was posted pursuant to section 16(4), are determined by the Tribunal and not by Review Services.

Posting of plan

(3) Where a review officer effects a settlement under subsection (1) or makes an order under subsection (2), the employer shall forthwith post in the workplace a copy of the pay equity plan that reflects the settlement or order.

Objections

(4) Where a pay equity plan has been posted under subsection (3), objections with respect to the plan may be filed with the Commission within thirty days of the posting as follows:

    1. If the plan relates to a bargaining unit, objections may be filed only if the review officer has made an order under subsection (2) and only the employer or the bargaining agent for the bargaining unit may file objections.
    2. If the plan does not relate to a bargaining unit and a review officer effected a settlement under subsection (1) with the agreement of the objector who filed the objection under subsection 15 (7), only an employee or group of employees to whom the plan applies, other than the objector, may file an objection.
    3. If the plan does not relate to a bargaining unit and a review officer has made an order under subsection (2), the employer or any employee or group of employees to whom the plan applies may file an objection.

Upper Grand District School Board v Ontario Secondary School Teachers’ Federation, 2013 CanLII 5971 (ON PEHT) – The Applicant brought an application regarding an order by a Review Officer. The Respondent argued that the Applicant did not object the pay equity plan within the time limits imposed by the Order and therefore, the plan became a “deemed approved pay equity plan” pursuant to subsection 16(5) of the Act. The Tribunal found that subsection 16(4) sets out a condition precedent for deemed approval under subsection 16(5), i.e. the pay equity plan must first be posted. Only in circumstances where the pay equity plan has been posted and the objection period has passed with no objections, is a pay equity plan deemed to be approved by the Pay Equity Commission.

Canadian Union of Public Employees Local 896 v Au Chateau Home for Aged, 2013 CanLII 67138 (ON PEHT) 2013-10-04 — This application was brought under subsection 25.1(4) to enforce the terms of a settlement. The Tribunal held that in dealing with a complaint under subsection 25.1(4), the Tribunal’s first task is to determine whether or not a party is failing to comply with a settlement. If, and only if, the Tribunal finds non-compliance is it then authorized by subsection 25.1(6) of the Act to make an order against the non-complying party. The Tribunal also held that where the parties compromised for the sake of reaching a voluntary settlement, the Tribunal is not about to go behind the settlement, in order to force the application of subsection 13(10) or any other statutory provision.

Deemed approval and first adjustments

(5) If a review officer effects a settlement of a pay equity plan for a bargaining unit under subsection (1) or, if in any other case, no objection in respect of a pay equity plan is filed with the Commission in accordance with subsection (4), the plan shall be deemed to have been approved by the Commission and, on the day provided for in the plan, the employer shall make the first adjustments in compensation required to achieve pay

Idem

(6) Where adjustments in compensation are made after the day provided for in the pay equity plan, the employer shall make the adjustments retroactive to that R.S.O. 1990, c. P.7, s. 16 (2-6).

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