British Columbia has passed new pay transparency legislation to support identifying and eliminating unjustified pay differences among groups of workers. The government intends in particular for this to help close the gender pay gap, which stood at 17% in 2022 (with larger gaps for Indigenous, visible minority, immigrant and disabled women). While other provinces have started to introduce pay transparency legislation, British Columbia is the first to also address the pay gap with respect to the employee’s “self-identified gender.”
Employers should review their policies and practices on pay to ensure compliance. The annual pay transparency report will require employers to report on the composition of their workforce and possibly on the differences in pay in relation to the employee’s “self-identified gender and other characteristics.” This report could also require employers to collect and report data that go beyond just their employee’s gender. The government has indicated that it is developing regulations to provide employers with more details on the reporting requirements.
