Indeed Data Show More Pay in BC Job Postings But Not 100% Compliance with PTA

Readers of our Employer Alerts and even mainstream media should be aware that, as of November 1, 2023 under the Pay Transparency Act (PTA), all BC job postings must include information about compensation: either the fixed hourly rate, salary or a range.  A leading job search website Indeed has just published its own review of BC job postings and reports that while the % with compensation information has jumped from 49% prior to introduction of PTA to 76% in February, 2024. The same report confirms a Canada wide-trend towards including pay information but notes that:

1. Higher paid white collar jobs offer the least pay information, either omitting any or giving a wider range; and
2. There is a growing trend towards posting a wider range of pay for positions.

(see https://www.hiringlab.org/en-ca/2024/03/21/salary-transparency-canadian-job-postings/ for the full article)

We offer the following observations:

1. Despite the clear obligation to publish pay in BC, approximately half of the employers (and their recruiters) who were not already doing so are still not posting pay details with their jobs i.e. the law only changed the behaviour of half of those being targeted! Viewed that way, it is a telling reminder that passing legislation does not mean everyone will comply. More education but also some enforcement is likely necessary to ensure a higher level of compliance with the PTA;
2. As Indeed observed, its own research shows that job ads with pay information receive more applicants, so posting pay information is also just good business practise;
3. When the PTA was passed, we predicted that forcing employers to add pay information would lead some to state a wider pay range to retain flexibility to adapt a job offer’s pay to the qualifications of the candidate and other considerations. Indeed confirmed a continued gentle trend towards wider pay ranges, particularly for salaried jobs, although Indeed did not publish BC specific data on this;
4. The fact that such a dominant source of job postings like Indeed is still able to post 25% of its job ads without information required by law raises the question of whether Indeed should be doing more to ensure compliance with the PTA. Indeed advertises itself as a “job search engine” which searches the internet for jobs but it also acts as by far the biggest paid “job board” used by employers and recruiters to post jobs. This ties in with the broader challenged for governments trying to regulate internet based businesses with no physical tie to a particular province or other political territory, as well as the argument by many popular websites and social media that they are “just a conduit/platform” for postings done by others;
5. Since a large % of job postings on Indeed are posted by recruiters, it would appear that even some hiring professionals are not aware of or complying with the PTA. This suggests that industry associations such as CPHR BC should be continuing to educate recruiters on the obligations of the PTA. If they are not complying with the pay posting requirement, they may not be complying with other PTA rules like not asking candidates what they are currently earning.

With Ontario promising to introduce pay posting requirements soon and a continuing tight labour market, expect the overall trend towards posting more information about pay in job ads to continue.

(For more information on the Pay Transparency Act, see our Employer Alerts: https://howardemploymentlaw.ca/pay-transparency-act-rules-now-in-effect-will-change-hiring-and-job-searching-practices/ 

If you want more information on this topic, you can contact us at:

Geoffrey Howard:          ghoward@howardlaw.ca

604 424-9686

Sebastian Chern:            schern@howardlaw.ca

604 424-9688