Pay Equity Plan

1. Objectives of the Pay Equity Act

Federally regulated employers, with an average of 10 or more employees, are subject to the Pay Equity Act (Act). The Pay Equity Act is a piece of legislation aimed at fostering fairness in the workplace. The purpose of the Act is to make sure that people working in jobs that are commonly held by women are receiving equal pay to those working in jobs commonly held by men. This is different from 'equal pay for equal work,' which ensures individuals in the same role are paid the same; that is dealt with under different legislation. Instead, the Pay Equity Act addresses the broader issue of valuing different types of work equitably.

By developing and maintaining a Pay Equity Plan, we can systematically identify and correct any disparities, promoting a fair and inclusive workplace where everyone is compensated fairly for their contributions.

2. Employer Obligations – Create a Pay Equity Plan

Creating a pay equity plan is more than a legal obligation for Polar Knowledge Canada; it shows our commitment to fairness and transparency in our compensation practices.

The Canadian Human Rights Commission developed resources and tools that we leveraged in the development of our plan.

Using these tools, we approached the development of our plan as follows:

1. Identifying Job Classes: We grouped positions into job classes based on similarities in duties, responsibilities, and qualifications. At Polar Knowledge Canada, a job class is the same as a classification group and level (for example: AS-01, PM-03).
2. Gender Predominance Determination: We analyzed which job classes are predominantly held by women and which are predominantly held by men. This step was essential for making accurate comparisons.
3. Valuing Work: We used objective criteria to assess the value of work in each job class, ensuring a fair evaluation of different roles.
4. Calculating Compensation: We determined the total compensation for each job class in dollars per hour, allowing us to compare pay rates accurately.
5. Identifying Pay Disparities: We examined whether there are any pay differences between male and female predominant job classes of equal value.

The plan was drafted and was sent to all employees to provide feedback and comments for sixty (60) days until August 26, 2024. In addition, Polar Knowledge Canada organized an all-staff session on July 24, 2024 to discuss the pay equity plan. This inclusive process ensured that all voices were heard and considered before finalizing the plan. No feedback was received during this time period.

3. List of Job Classes

Reference: Pay Equity Act (section 51(d))

This section lists all job classes within Polar Knowledge Canada as of data of February 15, 2024.

Job classes are categorized positions that share similar duties, responsibilities, and requirements. This step was essential for analyzing and comparing compensation across the organization, allowing us to systematically evaluate and compare the job classes to ensure fairness in compensation. By clearly defining these classes, we can more effectively address any observed or potential pay disparities.

Job Classes

• AS-01
• AS-02
• AS-03
• AS-04
• AS-05
• AS-06
• IT-01
• IT-03
• CT-FIN-01
• CT-FIN-02
• CT-FIN-03
• CT-FIN-04
• EC-02
• EC-05
• EC-06
• EG-02
• EG-03
• EG-04
• EG-05
• EN-ENG-03
• EX-01
• EX-02
• EX-03
• GL-VHE-08
• IS-02
• IS-04
• IS-05
• PC-02
• PC-03
• PC-04
• PE-03
• PE-04
• PE-05
• PE-06
• PG-02
• PG-06
• PM-02
• PM-03
• PM-04
• PM-05
• SE-REM-02
• SE-RES-02
• SE-RES-03
• SE-RES-04

4. Female predominant Job classes

Reference: Pay Equity Act (section 51(e))

This section identifies job classes that are predominantly held by women. This analysis was completed using data from February 15, 2024, as well as historical data for the various positions. No major variations were found when looking at the historical trends.

Identifying female-predominant job classes is a crucial step in the analyses and ensures that these roles are compensated equitably in comparison to any male-predominant job classes.

5. Male Predominant Job Classes

Reference: Pay Equity Act (section 51(f))

This section identifies job classes that are predominantly held by men. This analysis was completed using data from February 15, 2024, as well as historical data for the various positions. No major variations were found when looking at the historical trends.

Identifying male-predominant job classes is equally important and allows us to compare these roles with female-predominant roles to ensure fair compensation practices across genders.

6. Job Evaluation Method Used

Reference: Pay Equity Act (section 51(h))

The Point Factor method is a method that was used to evaluate the value of work for each job class. The Point Factor method uses 10 categories to quantify various aspects of each job to determine their value objectively. Each of the 10 categories listed below uses a rating scale out of a possible 100 points per category:

• Knowledge
• Communication and Interpersonal Skills
• Problem-Solving
• Motor Effort
• Intellectual/Cognitive Effort
• Responsibility: Impact of Action
• Coordination of Others
• Risk Management
• Physical Environment
• Psychological Environment

This method provides an objective way to assess the value of different roles by assigning points based on specific criteria. This helps to ensure that compensation reflects the true value of the work being performed. More information on the Point Factor method, including the rubric used, can be found on the Job Evaluation Guide on the Canadian Human Rights Commission website: https://www.payequitychrc.ca/en/pay-equity-toolkit.

7. Calculating Compensation

Reference: Pay Equity Act (section 51(i))

No differences in hourly compensation were identified based on the pay equity analysis. These findings indicate that there are no immediate pay disparities between male and female job classes that need correction, suggesting that our current pay practices are aligned with the principles of pay equity.

8. Comparing Compensation

Reference: Pay Equity Act (section 51(j))

We compared the compensation of male and female predominant job classes using the equal average method. This method helps to ensure that the comparison is fair and unbiased by looking at average pay rates, ensuring that our compensation practices do not favor one gender over another.

More information on the equal average method, can be found on the User Guide on the Canadian Human Rights Commission website https://www.payequitychrc.ca/en/pay-equity-toolkit.

9. Results from the Comparison of Compensation

Reference: Pay Equity Act (section 51(k)

From our analysis, we concluded that, currently, there are no female-predominant job classes that require a compensation increase at Polar Knowledge Canada. This indicates that there are no pay inequities that need to be addressed, and that our pay structure is currently fair and equitable for these roles.

10. Date on which increases in Compensation are Due

Reference: Pay Equity Act (section 51(l))

No compensation adjustments were found to be required and therefore there are no scheduled increases in compensation based on this pay equity analysis.

Although our analysis concluded that no compensation adjustments are necessary at this time, we will continue to monitor and review our Pay Equity Plan with an annual statement, in accordance with the Pay Equity Act, to ensure ongoing fairness. The Pay Equity Plan will also be revised every five (5) years in accordance with the Pay Equity Act.