Federal equal-treatment wage rules push employers toward pay audits
HRD Canada reports new federal equal-treatment wage rules put the onus on employers to document pay decisions, making a pre-enforcement audit the practical first step for HR and compensation teams.
New federal equal-treatment wage rules shift the burden onto employers to show how and why pay decisions are made, according to HRD Canada. One practitioner quoted in the report frames the first step as: "Gather what your compensation practices and policies are, document how you do things and why we do it that way." HRD Canada indicates the practical implication for HR and compensation teams is a documentation review ahead of enforcement, rather than after a complaint is filed. The scope and timing of enforcement activity are not detailed in the report.