Part 4Pay equity claims
Pay equity bargaining process
13ZESelecting appropriate comparators
This section sets out how parties select appropriate comparators against which to assess a pay equity claim under section 13ZD.
The parties to a pay equity claim involving 1 employer must select comparators that are most closely related to the employer by approaching the task as follows:
- if the employer employs 1 or more comparators, the parties must select 1 or more of those comparators:
- if the employer does not employ any comparators, the parties must select 1 or more comparators from 1 or more similar employers:
- if neither paragraph (a) nor paragraph (b) applies, the parties must select 1 or more comparators from 1 or more other employers within the same industry or sector.
The parties to a multi-employer pay equity claim must select comparators that are most closely related to the employers by approaching the task as follows:
- if 1 or more of the employers employ 1 or more comparators, the parties must select 1 or more comparators from 1 or more of those employers:
- if none of the employers employ any comparators, the parties must select 1 or more comparators from 1 or more employers that are similar to the employers in the claim:
- if neither paragraph (a) nor paragraph (b) applies, the parties must select 1 or more comparators from 1 or more other employers within the same industry or sector.
In addition to acting in accordance with subsection (2) or (3) (as applicable), the parties may, by agreement, select as a comparator the employees covered by a pay equity claim that has previously (but not before the Equal Pay Amendment Act 2025 comes into force) been raised and been the subject of a pay equity claim settlement.
A comparator selected under subsection (2) or (3) (as applicable) must be a male workforce that performs—
- work that is the same as, or substantially similar to, the work to which the claim relates; or
- work that is different to the work to which the claim relates, but that involves 1 or more of the following:
- skills and experience that are the same as, or substantially similar to, those required to perform the work to which the claim relates:
- responsibilities that are the same as, or substantially similar to, those involved in the work to which the claim relates:
- working conditions that are the same as, or substantially similar to, those involved in the work to which the claim relates:
- degrees of effort that are the same as, or substantially similar to, those involved in the work to which the claim relates.
- skills and experience that are the same as, or substantially similar to, those required to perform the work to which the claim relates:
Despite subsections (2) and (3), the parties may not select a comparator if there are reasonable grounds to believe that the work performed by that comparator—
- has been historically undervalued in the way described in section 13F(1)(b)(i); and
- continues to be subject to systemic sex-based undervaluation in the way described in section 13F(1)(b)(ii).
Despite subsections (2) to (4), the parties may not select as a comparator a workforce that is too small to allow a meaningful comparison between its work and the work to which the claim relates.
When selecting comparators, the parties must take into account any additional matters prescribed by regulations.
Notes
- Section 13ZE: replaced, on , by section 29 of the Equal Pay Amendment Act 2025 (2025 No 21).