FEDERAL PAY EQUITY TASK FORCE RELEASES ITS REPORT - PAY EQUITY: A NEW APPROACH TO A FUNDAMENTAL RIGHT - RECOMMENDING SWEEPING LEGISLATIVE REFORM

OTTAWA, May 5, 2004 - The federal Pay Equity Task Force, composed of three members, Beth Bilson, QC, Chair, Professor Marie-Thérèse Chicha, University of Montreal, and Scott McCrimmon, Consultant, today submitted its report entitled Pay Equity: A New Approach to a Fundamental Right to the Honourable Irwin Cotler, Minister of Justice and Attorney General of Canada and the Honourable Claudette Bradshaw, Minister of Labour. This report represents the first comprehensive review of federal pay equity legislation since it received Royal Assent in 1977.

Over its mandate, the Task Force commissioned independent research on a wide range of relevant issues and conducted a cross-Canada consultation process seeking the views of a diverse population of individuals, stakeholder groups, and government departments and agencies. "Throughout our consultations, there was clear agreement that pay equity is a human right," said Beth Bilson. "Among the major stakeholder groups there was also consensus that the current federal pay equity regime lacks clarity and has resulted in uncertainty, tension and frustration."

This report reviews the scope and consequences of wage inequity for women and other disadvantaged groups in the labour market, documents the history of pay equity legislation in Canada, assesses proactive and complaints-based pay equity legislation in Canada, reviews Canada's international obligations with respect to pay equity and evaluates the record of the current federal pay equity legislation.

The report notes that the wage gap for women remains entrenched and that members of visible minority groups, persons with disabilities and Aboriginal people face similar labour market discrimination. "Despite the great strides women have made with respect to their qualifications and professional experience, one still finds that many female dominated jobs in the same organization are less well-compensated than male dominated jobs of the same value. Therefore, it is necessary to have a proactive law which is flexible and adaptable to the modern workplace in order to quickly and effectively eliminate these inequities," said Marie-Thérèse Chicha.

The Task Force concludes that proactive legislation is more effective than the current complaint-based model and recommends that Parliament enact new stand-alone proactive pay equity legislation and that such legislation be characterized as human rights legislation.

"Proactive, comprehensive pay equity legislation will create a level playing field," said Scott MacCrimmon. "The current legislation has resulted in protracted and costly litigation for employers who are subject to a complaint."

Among its 113 recommendations, the Task Force proposes that the scope of the new legislation should be broad covering all federally-regulated employers, including Parliament and federal contractors, covering all employees and extending protection to members of visible minorities, persons with disabilities and Aboriginal people. Under this proposed legislation, all employers will be required to create a pay equity committee; to develop and implement a pay equity plan; and to maintain pay equity results in close consultation with employee representatives. Unions will also have a responsibility to ensure that these results are maintained in the negotiation of collective agreements. The proposed model also provides for timeframes, dispute resolution, mediation, sanctions, oversight, education and guidance.

The report contemplates the establishment of specialized oversight agencies with a wide array of responsibilities including assistance to employers and employees to achieve pay equity in their workplaces.

The Task Force is confident that its recommended legislative model provides a clear framework which will be more effective in ensuring that the goal of pay equity is achieved in all federally-regulated workplaces, and urges the federal government to implement these recommendations quickly.