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

Code of Good Practice

Equal Pay/Remuneration for Work of Equal Value

4. Eliminating Unfair Discrimination in respect of Pay/Remuneration
Purchase cart Previous page Return to chapter overview Next page

 

4.1An employer must, in order to eliminate unfair discrimination, take steps to eliminate differences in terms and conditions of employment, including pay/remuneration, of employees who perform the same or substantially the same work or work of equal value that are directly or indirectly based on one or more listed or on any other arbitrary ground.

 

4.2The principle of equal pay/remuneration for work of equal value addresses a specific aspect of workplace discrimination and the undervaluing of work on the basis of a listed or on any other arbitrary ground in terms of Section 6(1) of the Act.

 

4.3In South Africa, for historical reasons, the undervaluing of work has the greatest significance when examining work performed by employees who are female, black or those with disabilities. However, differences based on any of the listed or any other arbitrary ground may constitute unfair discrimination.

 

4.4When examining whether the obligation to apply pay/remuneration equity in the workplace is being complied with, three key issues require scrutiny—
4.4.1Are the jobs that are being compared the same, substantially the same or of equal value in terms of an objective assessment?
4.4.2Is there a difference in the terms and conditions of employment, including pay/remuneration, of the employees in the jobs that are being compared?
4.4.3If there are differences in the terms and conditions of employment, can these be justified on fair and rational grounds?

 

4.5Differences in terms and conditions of employment, including pay/remuneration, of employees of the same employer may not necessarily constitute unfair discrimination where the complainant and the comparator do not perform the same, similar or work of equal value.

 

4.6A difference in pay/remuneration will only be unfair discrimination if the differences are directly or indirectly based on race, sex, gender, disability or any other listed or on any other arbitrary ground.