On May 11th, 2023, BC passed a new legislation: the Pay Transparency Act. The BC Pay Transparency Act helps dismantle systemic discrimination within the workplace by introducing new obligations for employers.
What is the Pay Transparency Act?
Everyone deserves to be paid fairly, yet women and non-binary folks are often disproportionately affected. In fact, women in BC earned 17% less than men last year (Province of BC, 2023).
Even in 2023, the pay gap is real. However, the BC Pay Transparency Act aims to reduce this pay gap and bring hidden pay inequities to light. The act places a responsibility on employers to proactively address pay disparities and take actionable measures to achieve a more equitable workplace for all.
How does the BC Pay Transparency Act impact BC employers?
This new act impacts BC employers in a few key areas:
Effective Immediately
- Pay history: Employers CANNOT ask candidates about their previous pay rate. Employers CAN still use the pay history information they already have about similar positions to determine the pay for a new position.
- Pay secrecy: Employers CANNOT discipline employees who:
- Ask about their pay,
- Reveal their pay to another employee or someone applying to work with their employer,
- Ask their employer about its pay transparency report, or
- Provide information to the Director of Pay Transparency about their employer.
Effective November 1, 2023
- Job postings: Beginning November 1, 2023, ALL BC employers must include the expected pay / expected pay range for any publicly advertised job opportunities. In other words, all your job ads will have to include the expected pay for that specific position.
- Pay transparency report: By November 1, 2023, the BC government and the six largest Crown corporations will be required to post their annual pay transparency reports. Eventually, all BC employers with more than 50 employees must create an annual pay transparency report by November 1st of each year.
When will you have to create a pay transparency report?
Deadlines for BC employers are quickly approaching! It might not be time to hit the panic button just yet, but it’s better to get started as soon as possible and stay ahead of the game.
Here’s the timeline for BC employers to submit their pay transparency report:
- By November 1, 2024, all employers with 1,000 employees or more must begin posting annual pay transparency reports.
- By November 1, 2025, all employers with 300 employees or more must begin posting annual pay transparency reports.
- By November 1, 2026, all employers with 50 employees or more must begin posting annual pay transparency reports.