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Employment Equity Act, 1998 (Act No. 55 of 1998)

Code of Good Practice

Equal Pay/Remuneration for Work of Equal Value

8. Process for Evaluating Jobs for the Purpose of Equal Pay/Remuneration for Work of Equal Value


8.1 The following process may be used to determine equal pay/remuneration for work of equal value—
8.1.1 determine the scope of the audit to be conducted to identify inequalities in pay/remuneration on account of gender, race, disability or any other listed or on any other arbitrary ground;
8.1.2 identify jobs that would be subjected to the audit;
8.1.3 ensure that job profiles or job descriptions exist and are current before evaluating jobs;
8.1.4 utilise a job evaluation and/or grading system that is fair and transparent and does not have the effect of discriminating unfairly on any listed or arbitrary ground;
8.1.5 compare jobs that are the same, similar or of equal value in the employer's own organisation or company. This should include comparing female-dominated jobs with male-dominated jobs as well as other jobs that may have been undervalued due to, race, disability or other discriminatory grounds;
8.1.6 select a method of comparing pay/remuneration, both in money and kind, in the relevant jobs: this can be done by using either the average or the median earning of employees in the relevant jobs as the basis for pay/remuneration comparisons or by using another method that will compare pay/remuneration in a fair and rational manner;
8.1.7 identify the reasons for differentiating in pay/remuneration as contemplated by Regulation 7 in the Employment Equity regulations and determine whether they are justifiable;
8.1.8 where differentiation is found not to be justifiable, determine how to address inequalities identified, without reducing the pay/remuneration of employees to bring about equal remuneration; and
8.1.9 monitor and review the process annually.