13. (1) Documents, to be known as pay equity plans, shall be prepared in accordance with this Part to provide for pay equity for the female job classes in each establishment of every employer to whom this Part applies and, without restricting the generality of the foregoing,
(a) shall identify the establishment to which the plan applies; and
(b) shall identify all job classes which formed the basis of the comparisons under section 12.
Idem
(2) If both female job classes and male job classes exist in an establishment, every pay equity plan for the establishment,
(a) shall describe the gender-neutral comparison system used for the purposes of section 12;
(b) shall set out the results of the comparisons carried out under section 12;
(c) shall identify all positions and job classes in which differences in compensation are permitted by subsection 8 (1) or (3) and give the reasons for relying on such subsection;
(d) shall, with respect to all female job classes for which pay equity does not exist according to the comparisons under section 12, describe how the compensation in those job classes will be adjusted to achieve pay equity; and
(e) shall set out the date on which the first adjustments in compensation will be made under the plan, which date shall not be later than,
(i) the second anniversary of the effective date, in respect of employers in the public sector,
(ii) the third anniversary of the effective date, in respect of employers in the private sector who have at least 500 employees on the effective date,
(iii) the fourth anniversary of the effective date, in respect of employers in the private sector who have at least 100 but fewer than 500 employees on the effective date,
(iv) the fifth anniversary of the effective date, in respect of employers in the private sector who have at least fifty but fewer than 100 employees on the effective date and who have posted a notice under section 20, and
(v) the sixth anniversary of the effective date, in respect of employers in the private sector who have at least ten but fewer than fifty employees on the effective date and who have posted a notice under section 20.
Idem
(3) A pay equity plan shall provide that the female job class or classes that have, at any time during the implementation of the plan, the lowest job rate shall receive increases in rates of compensation under the plan that are greater than the increases under the plan for other female job classes until such time as the job rate for the female job class or classes receiving the greater increases is equal to the lesser of,
(a) the job rate required to achieve pay equity; and
(b) the job rate of the female job class or classes entitled to receive an adjustment under the plan with the next lowest job rate.
Minimum adjustments
(4) The first adjustments in compensation under a pay equity plan are payable as of the date provided for in clause (2) (e) and shall be such that the combined compensation payable under all pay equity plans of the employer during the twelve-month period following the first adjustments shall be increased by an amount that is not less than the lesser of,
(a) 1 per cent of the employer’s payroll during the twelve-month period preceding the first adjustments; and
(b) the amount required to achieve pay
Idem
(5) Adjustments shall be made in compensation under a pay equity plan on each anniversary of the first adjustments in compensation under the plan and shall be such that during the twelve-month period following each anniversary the combined compensation payable under all pay equity plans of the employer shall be increased by an amount that is not less than the lesser of,
(a) 1 per cent of the employer’s payroll during the twelve-month period preceding the anniversary; and
(b) the amount required to achieve pay
Maximum adjustments
- Except for the purpose of making retroactive adjustments in compensation under a pay equity plan or unless required to do so by an order described in clause 36 (g), nothing in this Act requires an employer to increase compensation payable under the pay equity plans of the employer during a twelve-month period in an amount greater than 1 per cent of the employer’s payroll during the preceding twelve-month period. R.S.O. 1990, c. P.7, s. 13 (1-6).
Exception
- Despite subsection (6), pay equity plans in the public sector shall provide for adjustments in compensation such that the plan will be fully implemented not later than the 1st day of January, 1998.
Transition, application
(7.1) Subsections (7.2) and (7.3) apply with respect to an employer in the public sector who has set out in a pay equity plan that was posted or in another agreement that was made before this subsection comes into force a schedule of compensation adjustments for achieving pay equity.
Same, bargaining agent
(7.2) If the employees to whom the plan or agreement applies are represented by a bargaining agent, the employer is not bound by the schedule set out in it if the employer gives written notice to the bargaining agent that the employer wishes to enter into negotiations concerning a replacement schedule.
Same, no bargaining agent
(7.3) The employer is not bound by the schedule set out in the plan or agreement if the employees to whom it applies are not represented by a bargaining agent. 1993, c. 4,
- 7 (1).
Definition
- In this section,
“payroll” means the total of all wages and salaries payable to the employees in Ontario of the employer.
Pay equity plan binding
- A pay equity plan that is approved under this Part binds the employer and the employees to whom the plan applies and their bargaining agent, if any.
Plan to prevail
(10) A pay equity plan that is approved under this Part prevails over all relevant collective agreements and the adjustments to rates of compensation required by the plan shall be deemed to be incorporated into and form part of the relevant collective
Deemed compliance
(11) Every employer who prepares and implements a pay equity plan under this Part shall be deemed not to be in contravention of subsection 7 (1) with respect to those employees covered by the plan or plans that apply to the employees but only with respect to those compensation practices that existed immediately before the effective R.S.O. 1990, c. P.7, s. 13 (8-11).
Application
(12) If a pay equity plan is amended under section 1 or 14.2, subsections (9),
(10) and (11) apply, with necessary modifications, to the amended plan. 1993, c. 4,
- 7 (2).