What Is Pay Transparency—and Why Should Your BC Company Care?

By Katie Stargardter

 

British Columbia has taken a significant step towards equitable compensation with the introduction of the Pay Transparency Act, effective May 2023. This legislation aims to create a more transparent and fair job market, benefiting both employees and job seekers. Let’s delve into the key provisions of this new Act and what it means for organizations in BC.

 

What Are the Key Requirements of BC’s Pay Transparency Act?

• Salary in Job Postings: Since November 1, 2023, all publicly advertised job postings must include an expected pay or a salary range with both a lower and upper limit.
• Asking for Pay History: You can no longer request an applicant’s past compensation—directly or indirectly.
• Protection from Reprisals:  Employees have the right to discuss pay, ask about transparency reports, and report non-compliance—without fear of retaliation.
• Annual Pay Transparency Reports: Employers must submit annual reports showing pay gaps by gender identity, with these reports made public either online or available upon request. The timing of this depends on the size of your organization:
  • 2024: 1,000+ employees
  • 2025: 300+ employees
  • 2026: 50+ employees

How Will BC’s Pay Transparency Act Affect Employers and HR Teams?

• Compliance – Avoid being flagged in the government’s annual summary.
• Fairness – Identify and close wage gaps affecting women, Indigenous peoples, racialized groups, newcomers, people with disabilities, and 2SLGBTQIA+ employees.
• Reputation – Attract top talent with transparent, equitable practices.
• Culture – Build trust and engagement by being open about pay.

 

How Can BC Employers Prepare for the Pay Transparency Act?

1. Update job postings templates to include clear salary ranges. 
2. Remove pay history questions from all recruitment processes.
3. Start collecting pay and voluntary demographic data (e.g., gender identity) for future reporting.
4. Train managers to handle pay discussions and avoid retaliation.
5. Review internal pay practices now—before public reporting begins.

Why Should Your BC Company Care About Pay Transparency?

BC’s Pay Transparency Act is more than a regulation—it’s a powerful lever for equity. Embracing pay transparency isn’t just about legal compliance—it’s about building workplaces where fairness, diversity, and trust are foundational.

Need help translating the Pay Transparency Act into compliant reports and job ads? We’re here to support you. Contact us today.