Q1: All of the employees of a fast food company are paid minimum wage. Does pay equity apply to this business?

A1: Yes. All private sector employers with ten or more employees are required to comply with the Act. At a minimum, employers must analyze their job classes and make the necessary pay equity job comparisons. If the female job classes and similarly valued male job classes in an organization are all paid minimum wage, this is a situation where no pay equity gaps exist and thus, there will be no requirement to adjust wages. It may be advisable however for all employers to set up their pay equity process so that as new job classes emerge the employer has a mechanism in place to ensure ongoing compliance.

Q2: If an organization does not have any male job classes, can pay equity be done?

A2: No. If a private sector employer with ten or more employees has only female job classes or only male job classes, pay equity cannot be achieved because no comparisons between male and female job classes are possible. However, as soon as either a female or male job class is created, this employer would be required to achieve pay equity.