Authorization Requests – Longer Phase-in Period

Longer Phase-in Period

What can you request?

You can apply for an extension of the deadline to phase in increases in compensation. (Section 113 of the Pay Equity Act).

Description

If an employer is experiencing extreme financial hardship, they may ask for an extension of the deadline to phase in increases in compensation. Demonstrating extreme financial hardship is a high threshold to cross. If the Commissioner approves the request, the employer must meet the new deadline when phasing in increases in compensation.

Assessment Process

We will assess:

• If the increases in compensation would amount to at least 1% of the employer’s payroll.
• Evidence of the employer’s financial situation is required, including:
  1. information about income, expenses, assets, and liabilities.
  2. If the employer’s current and anticipated resources would allow it to pay the increases in compensation according to the schedules in the Act,
  3. if the costs could be recovered in the normal course of business; and
  4. the effects on the employer and the workplace of not granting the extension.
• If it is appropriate in the circumstances to authorize the request, in light of the purposes and goals of the Act.