Special thanks to our summer associate Daniel Dai for contributing to this update.
British Columbia’s Pay Transparency Act, which received royal assent on May 11, 2023, imposes pay disclosure and reporting obligations on both public and private sector employers to address systemic discrimination in the workplace. It is the latest in a series of new pay transparency laws across Canada.
This push for more transparency to bridge the pay gap for historically disadvantaged groups is a global trend. In the United States, 8 states, including California, Colorado and Washington, along with cities like New York City, have recently adopted salary disclosure laws. There is also pending legislation at the federal level—the Salary Transparency Act—that would require all job postings to include the wage or wage range for a position. Similarly, the European Parliament approved the Pay Transparency Directive in March 2023, which is set to enter into force in 2024. Among other things, this Directive establishes a right to certain pay information and imposes pre-employment pay disclosure obligations on both public and private sector EU employers.