“The next step on the path to pay equity” is now law in British Columbia
At a glance
- The Pay Transparency Act 2023 (PTA) came into force on 11 May 2023 after receiving Royal Assent, with the exception of section 2 of the Act, which is to come in to effect 1 November 2023.
As mentioned in our previous alert, under the PTA, all public and private-sector employers in British Columbia are prohibited from asking job candidates for information relating to their pay history. These prohibitions are in effect immediately. Such employers are also prohibited from “punishing” employees who disclose their pay to co-workers or job candidates.
Although it was previously anticipated that Part 3 of the PTA would not immediately be in force, as of 11 May 2023 “reporting employers” (currently provincial government agencies, BC Hydro, BC Housing, BC Lottery Corp., BC Transit, ICBC and WorkSafeBC) are also required to create pay transparency reports which are to be published on a publicly accessible website maintained by or on behalf of the “reporting employer”. The prescribed content of a pay transparency report will be clarified by future regulation. Pay transparency reports are to be published as soon as practicable after their creation, with a deadline of 1 November of the applicable year for the creation of the report (ie the publishing deadline is not the same as the report creation deadline).
Other private employers and other Crown corporations will gradually be included in the definition of “reporting employers” as follows:
- For 2024, if the employer has 1000 or more employees as of 1 Jan;
- For 2025, 300 or more;
- For 2026, 50 or more;
- For a year after 2026, more than the lesser of 49 and any prescribed number.
The obligation for all public and private-sector employers in British Columbia to post wage or salary ranges on publicly advertised jobs under section 2 of the PTA will not come into force until 1 November 2023.
The Ministry of Finance will publish an annual report regarding the gender pay gap on 1 June of each year. Regulations providing further particulars about reporting requirements are anticipated, including in respect of the safe collection of demographic data.
The full text of the PTA can be accessed here.
For further information, please contact any of the member of the DLA Piper Canadian Employment and Labour Law Service Group listed here.
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