Creating a fairer Britain
This section contains information on job evaluation checks and on assessing equal value.
It also contains a number of possible methods for estimating equal value (equal value checks 1-6).
Job Evaluation Check is for employers and trade union representatives who are already using job evaluation, or who are considering introducing it. It can be used in conjunction with the Commission's equal pay audit model or on its own.
The equal pay legislation does not require an employer to use job evaluation. However, the concept of equal pay for work of equal value, whereby a woman can claim equal pay with a man doing a completely different job, means that an employer will have to apply techniques akin to those used in job evaluation, in order to assess the demands of the jobs being compared. Similar provisions are likely to apply in relation to ethnicity, disability and age.
It therefore makes sense for employers to opt for job evaluation as a basis for a grading and pay structure. A job-evaluated system should reduce the risk of an equal pay claim, may provide a defence to an equal pay claim if one is made, and will greatly facilitate carrying out an equal pay audit. See step three of the kit for more information.
This guidance note comprises:
The guide assumes that you have a working knowledge of job evaluation, but the following prior reading is recommended:
This section contains information on:
Organisations with a single job evaluation scheme covering all employees should check:
Organisations with one job evaluation scheme covering some employees, or more than one scheme should check:
Organisations with no job evaluation scheme should check:
More information on work of equal value can be found in Equal pay in practice - work of equal value and Different but Equal by Kay Gilbert.
This guidance note is designed to be used in conjunction with the Commissions equal pay audit model. It describes some options for estimating equal value in the absence of a single job evaluation scheme covering all the employees within the scope of your audit. It supports step 2 of the model, identifying equal work.
Whilst every effort has been made to ensure that the advice given here is accurate, only the courts or tribunals can give authoritative interpretations of the law.
The concept of 'work of equal value' derives directly from the (gender-related) Equal Pay Act. However, the concept appears equally relevant to equal pay claims based on ethnicity, disability, or contractual status. For example, it seems probable an employment tribunal would accept as a defence to such a claim a substantiated argument that the work of the comparator was of significantly greater value than the work of the claimant.
Once you have identified work of equal value, you will be able to analyse your pay data by ethnicity, disability, age and contractual status, as well as by gender, in order to establish whether there are significant pay gaps based on any of these diversity strands. For more on this see Step 2.
The most reliable and objective approach to determining equal value is to use a single job evaluation scheme designed and implemented to take account of equal value considerations and your specific job population. Such a system will assess the demands of jobs under headings such as effort, skill, decision and responsibility.
Those organisations which do operate a single job evaluation system covering all employees, can rely on their work rated as equivalent checks, perhaps supported by selected like work checks for the purpose of their equal pay review. They will also need to undertake an equality review of the design and implementation of the job evaluation scheme. For more on this see Step 2.1 job evaluation.
Those organisations which do not operate a single job evaluation scheme covering all employees, should seriously consider introducing such a scheme.
Where it is judged impractical to introduce a single job evaluation scheme, you will need to estimate equal value between jobs not covered by the same job evaluation scheme. This could vary from a small number of, for example, senior managers not covered by an existing scheme, to all employees where there is no job evaluation at all.
A number of possible methods for estimating equal value are offered below. It should be noted, however, that none will be an acceptable alternative to a rigorous job evaluation-based approach to assessing equal value. These methods provide a risk assessment tool, rather than a robust defence to an equal pay claim.
Select from the list below the description that best covers the situation in relation to your own organisation. The links will take you to detailed instructions on how to proceed.
Please send any feedback or enquiries to equalpayfeedback@equalityhumanrights.com.