Under the HRPA Human Resources Competency Framework (Functional Domain: Total Rewards) and in alignment with Ontario’s Pay Equity Act, HR professionals must understand and apply legislated pay equity methods to ensure equitable compensation between female and male job classes performing work of equal or comparable value.
The Pay Equity Act (Ontario) defines three methods for establishing pay equity:
“Job-to-job comparisons directly match female and male job classes performing work of equal value.”
(HRPA Total Rewards Knowledge Area: Compensation Equity and Compliance)
Proportional Value Comparison
Used when there are insufficient or no direct male comparator job classes.
This method extrapolates a hypothetical male comparator by analyzing the relationship between job value and pay rates among existing male job classes, then applying that relationship to female job classes.
Extract:
“The proportional value method establishes pay equity when a direct male comparator does not exist by extrapolating a male reference rate using existing male job data.”
(HRPA Competency Framework – Total Rewards, Pay Equity and Compensation Analysis, CHRP Level)
Proxy Comparison
Applies only to the public sector, where there are no male job classes at all.
Uses job data from a comparable organization with male job classes to establish equity.
Permissible Differences
Refers to legally acceptable pay differences (e.g., seniority, merit, skill shortages) that do not constitute pay equity violations.
Therefore, the correct answer is C. Proportional value, as it specifically applies when no direct male comparator job class exists within the organization and relies on extrapolated data from other male job classes.
Verified Reference Summary (HRPA Frameworks and Study Materials):
HRPA Human Resources Competency Framework – Functional Domain: Total Rewards
CHRP Knowledge Exam Blueprint (HRPA, Ontario)
Pay Equity Act (Ontario) – Sections 5–6, Methods of Comparison
HRPA Exam Preparation Guide – Pay Equity and Compensation Compliance
